The German DAX index recovered from a tentative opening on Wednesday, moving into positive territory by midday. The index was calculated at approximately 24,260 points around 12:30 PM, representing a gain of 0.2 percent compared to the previous trading day. Commerzbank, Porsche and Siemens Healthineers led the list of top performers, while Adidas, Symrise and Mercedes-Benz concluded the session among the strongest.
Market expert Andreas Lipkow attributed the movement to positioning by investors anticipating the month’s end and the start of the second half of the year. He noted a relative stability in European financial markets, suggesting limited room for unexpected developments.
However, Lipkow highlighted potential shifts in the US market, with a possible move towards bonds and away from equities. This sentiment stems from ongoing uncertainties surrounding the US-China trade deal and the anticipated US Federal Reserve interest rate policy during the second half of the year.
“The recently released GDP data for Germany and the Eurozone arrived in line with expectations, revealing a neutralization of the positive effect observed in the first quarter, with subsequent economic effects now taking precedence” Lipkow added. Investors are now awaiting the release of US GDP data and ADP figures, alongside the upcoming quarterly earnings reports from major corporations.
The Euro weakened slightly mid-week, trading at $1.1542, with the US dollar fetching €0.8664.
Meanwhile, oil prices declined; Brent crude was priced at $71.86 per barrel around noon German time, a decrease of 65 cents, or 0.9 percent, compared to the previous day’s closing value.
