The DAX began trading on Thursday with gains. The benchmark index was calculated around 9:30 AM at approximately 26,425 points, representing a 0.4 percent increase from the previous day’s closing level. FMC, Rheinmetall, and Siemens Energy led the charge at the top, while Brenntag, BASF, and Infineon finished strong.
Analyst Thomas Altmann of QC Partners commented on the market’s reaction to recent economic data, stating that stock exchanges are now increasingly pricing in a Federal Reserve interest rate hike in September. He observed that the previous day’s inflation figures sustainably calmed the markets. “The probability of a September increase was still over 50 percent this morning,” Altmann noted, “but it is now at 36 percent. This provides new momentum for the stock market.”
The analyst further explained that after reaching a high point the previous day, expected profit-taking occurred across the DAX. This led to higher trading volume yesterday compared to the two trading sessions prior. According to Altmann, the crucial factor now for the DAX will be whether enough new buyers enter the market to push the index to further record highs.
In parallel developments, the European currency fluctuated slightly lower on Thursday morning. The euro cost 1.1520 US dollars, meaning the dollar was available at 0.8681 euros. Meanwhile, the price of crude oil saw a slight dip. Around 9 AM German time, a barrel of North Sea Brent crude cost $88.82; this was 16 cents, or 0.2 percent, less than the close of the preceding trading day.
