On Thursday the DAX slipped, ending at 23,168 points, a decline of 0.6 % compared with yesterday’s close. After a weak opening the index widened early losses but was able to recover a portion by late afternoon.
Investor concerns focus on a potential escalation of the conflict in the Middle East over the holiday period. Andreas Lipkow, chief market analyst at CMC Markets, said that the war continues to restrain equity markets. He also highlighted growing fears that a blockade of the Strait of Hormuz could impact the fertilizer industry and the semiconductor sector, exposing more businesses outside the traditional energy‑dependent groups. According to Lipkow, investors are becoming increasingly risk‑averse, concentrating on a handful of crisis‑winners such as energy names and exchange operators.
In the Frankfurt trading session the strongest performers were shares of Deutsche Börse, EON, the reinsurer Hannover Rück, and Munich Re, while the weakest was the Telekom stake.
Meanwhile, the price of natural gas rose: a megawatt‑hour (MWh) of gas for May delivery cost €50, up five percent from the previous day. If prices remain at that level, the consumer cost would be at least about ten to twelve cents per kilowatt‑hour (kWh), including fees and taxes.
Oil prices also climbed sharply. Brent crude reached $106.70 per barrel at 17:00 German time, a 5.5 % increase from the prior day’s close.
The euro weakened on Thursday afternoon. One euro traded at $1.1552, meaning one US dollar could be exchanged for €0.8657.
