The German stock market rose slightly on Thursday, under the impression of strong Nvidia figures and dampening monetary policy signals from the US Federal Reserve. The DAX gained 0.29 percent to 18,734.63 points in the first few minutes of trading. The MDax of medium-sized stocks rose by 0.34 percent to 27,239.24 points and the EuroStoxx 50, the leading barometer of the euro zone, rose by around 0.4 percent.
The Fed had signaled the evening before that it would stick to its high interest rates and had not yet announced any plans to reduce them any time soon. Some Fed representatives even showed a willingness to tighten monetary policy further if necessary. This is likely to disappoint stock investors, as interest rate cuts had been expected later in the year. In contrast to the Fed, the European Central Bank (ECB) will probably lower its key interest rate in June because inflation in the eurozone has weakened.
On Thursday, disappointment over the Fed was once again offset by enthusiasm over Nvidia’s development. The AI specialist once again exceeded expectations with its quarterly figures and outlook.
Source: Stern
