DAX Climbs Higher Even After Retreating from Peak

Dax Futures Live

The benchmark DAX, which reached 23,723.14 earlier in the session, increased by 76.61 points or 0.32% to 23,677.14. The German market is showing strong gains on Thursday, building on the positive momentum from the previous session, as anticipation grows for an interest rate cut announcement from the Federal Reserve following its monetary policy meeting next week. Alongside analyzing regional economic data, investors are also anticipating the upcoming U.S. non-farm payroll figures.

  • Heidelberg Materials is up 2.75%, Zalando is up 2.5%, RWE is up 2.3%, and Bayer is up approximately 2.1%.
  • Deutsche Telekom, Munich RE, Deutsche Post, Beiersdorf, and E.On have increased by 1 to 1.35%.
  • Daimler Truck Holding, SAP, Henkel, Infineon Technologies, Siemens Healthineers, and Merck have increased by 0.7 to 0.9%.
  • Porsche AG shares fell almost 1% earlier in the session, as the stock is poised to be moved to the German mid-caps index MDAX due to recent declines in its value. The stock rebounded afterward, showing a slight increase shortly before noon.
  • MTU Aero Engines has decreased by 2.1%.
  • Rheinmetall is experiencing a decrease of 1.7%, with Porsche Automobil Holding, BASF, Fresenius Medical Care, and Sartorius also showing declines ranging from 0.4% to 1%.

In economic news, Germany’s construction sector experienced a further decline in August, primarily attributed to a significant drop in new orders. The HCOB construction Purchasing Managers’ Index decreased to 46.0 in August, down from July’s 29-month peak of 46.3. Eurostat data indicated that retail sales in the Eurozone fell more than anticipated in July, primarily due to a significant decrease in food and auto fuel sales.

Retail sales experienced a decline of 0.5% for the month, differing from the 0.6% rise observed in June. Sales were projected to decline by 0.3%. In July, the annual growth in retail sales slowed to 2.2%, down from 3.5% in June. Furthermore, this fell short of the anticipated 2.4%. Sales in the EU27 experienced a decline of 0.4% in July compared to the previous month, yet showed an increase of 2.4% year-over-year.