The buying mood on the German stock market could continue today and bring the Dax another record. A few minutes after the Xetra launch, the leading German index hovered around its previous day’s close at 18,869.77 points. This means that another high is not far away and the 19,000 point mark is getting closer.
The most important US stock indices had reached new highs the evening before after the inflation figures. Inflation in the United States weakened somewhat in April. This fueled hope that the recently questionable interest rate turnaround in the USA is getting closer again. However, the head of the central bank, Jerome Powell, only sent the opposite signals again on Tuesday.
“The interest rate cut fantasy is finally back on the trading floor, the prospect of cheap and therefore even more money is driving stock market prices further up,” commented capital market strategist Jürgen Molnar from broker RoboMarkets. However, the last 100 points up to the next sound barrier of 19,000 points could be difficult for the Dax, also because the heavyweight Siemens is adopting a quieter tone with a view to future growth, the expert wrote. Siemens shares are heavily weighted in the DAX and most recently lost 1.7 percent on Thursday after the quarterly report.
The MDax of medium-sized stocks gained 0.27 percent to 27,525.49 points. The EuroStoxx 50, the leading barometer for the euro zone, was just in the red.
Source: Stern
