The DAX continued its recent recovery with moderate growth on Tuesday. At the end of trading, the German leading index gained 0.35 percent to 18,131.97 points. This puts a further stop to the recent correction.
However, the stabilization is like a delicate plant that should not be exposed to sudden mood swings among investors, explained analyst Konstantin Oldenburger from the broker CMC Markets. The uncertainty about the political future of France and thus the entire European Union is currently too great.
The MDax, which includes medium-sized stocks, rose by 0.42 percent to 25,589.93 points. Economic data from Germany and the USA left no trace overall.
In New York, there were no further records for the broad-based S&P 500 and the technology-heavy Nasdaq 100 on Tuesday. The leading index Dow Jones Industrial was barely changed at the end of European trading. In Europe, the leading Euro barometer EuroStoxx 50 closed 0.72 percent higher at 4915.47 points. The price increase was similar on the leading stock exchanges in Paris and London.
In general, defense stocks were in demand. Germany had reported estimated defense spending of 90.6 billion euros to NATO for 2024 and would thus clearly meet the defense alliance’s goal of spending at least two percent of gross domestic product on defense. Rheinmetall gained one percent in the DAX, Hensoldt 1.2 percent in the MDAX and Renk 2.7 percent in the SDAX. Renk also benefited from a buy recommendation from the analysis house Kepler Cheuvreux.
Beiersdorf, on the other hand, went into a tailspin during the consumer goods manufacturer’s capital market day, falling by 2.8 percent at the end of trading at the DAX. Investors are probably disappointed that no new medium-term financial targets were announced, explained Bernstein analyst Bruno Monteyne.
Meanwhile, shares in the diagnostics company Qiagen and Deutsche Börse increased their gains from the previous day by 1.7 and 1.9 percent respectively, making them the best performers in the DAX. Bilfinger shares recovered from their most recent correction at the top of the MDAX with a gain of 3.5 percent.
The euro was last traded at 1.0738 US dollars. The European Central Bank (ECB) had set the reference rate in the afternoon at 1.0715 (Monday: 1.0712) dollars. The dollar thus cost 0.9332 (0.9335) euros.
On the bond market, the yield on bonds rose from 2.44 percent the day before to 2.47 percent. The Rex bond index fell by 0.20 percent to 124.92 points. The Bund future gained 0.16 percent to 132.70 points.
Source: Stern
