The German stock market benchmark, the DAX, continued its upward trend on Tuesday, building on a positive start to the trading day. By midday, the index reached approximately 23,585 points, a gain of 0.2 percent compared to the previous day’s closing level.
Leading the performance within the DAX were Infineon, Adidas and Volkswagen. Conversely, Rheinmetall, Commerzbank and Heidelberg Materials experienced declines.
Market analyst Andreas Lipkow attributed investor focus on technology stocks as a key driver. “The optimism surrounding software and semiconductor companies is largely fueled by developments in the United States and the substantial investments being made to advance artificial intelligence initiatives” he stated. Lipkow highlighted a developing technological competition between the U.S. and China, emphasizing that the entity capable of securing significant investment and establishing the strongest infrastructure will likely emerge as the dominant player over the next five to ten years. This competition is expected to indirectly benefit several European technology firms, including Infineon, SAP and ASML.
The euro experienced slight depreciation against the US dollar, trading at $1.1799, with the dollar fetching €0.8475.
Meanwhile, oil prices saw an increase; Brent crude futures were priced at $66.86 per barrel around midday, representing a rise of 29 cents, or 0.4 percent, compared to the previous day’s closing price.
