Following three consecutive days of declines, Germany’s equity benchmark DAX experienced an uptick on Friday as investors processed a range of economic data and corporate earnings reports. While apprehensions regarding geopolitical tensions and tariffs persisted, the primary emphasis continued to be on domestic data. Reports indicating that U.S. lawmakers have achieved a bipartisan funding agreement to prevent a government shutdown have positively influenced sentiment. In the latest developments, President Donald Trump is expected to announce his selection of former Federal Reserve official Kevin Warsh to succeed Jerome Powell as the chair of the central bank.

The DAX, having reached 24,528.01 earlier in the session, was up 181.25 points or 0.75% at 24,474.49 shortly after noon. German sportswear manufacturer Adidas experienced a 6% increase following the announcement of record revenues for 2025 and a planned stock buyback valued at 1 billion euros. SAP experienced an increase of 2.5%, while Deutsche Bank saw a rise of 2%. Deutsche Boerse, Commerzbank, and Scout24 experienced increases of 1.5% to 1.7%, whereas Fresenius and Brenntag saw gains of 1.2% and 1%, respectively.

• Henkel, Munich RE, Siemens Energy, Fresenius Medical Care, Hannover Rueck, Heidelberg Materials, Dutsche Post, Zalando, Beiersdorf, Allianz, and Symrise experienced upward movement.
• Volkswagen experienced a decline of nearly 1%. Rheinmetall experienced a decline of 0.8%.
• Vonovia, GEA Group, Porsche Automobil Holding, and BASF recorded losses ranging from 0.5% to 0.65%.

Data indicated that import prices in Germany experienced a decline of 2.3% in December compared to the same month the previous year, following a decrease of 1.9% in November. However, the decline was slower than the forecasted 2.6% fall. In a month-on-month comparison, import prices experienced a slight decline of 0.1%, contrasting with the 0.5% increase observed in November. It was anticipated that prices would decline by 0.4%. Export prices exhibited no change on a yearly basis, contrasting with the 0.3% increase observed in November. In the latest monthly report, export prices experienced a decline of 0.1%. In 2025, overall import prices exhibited a decline of 0.3% relative to 2024, while export prices experienced an increase of 1%, according to the data presented.

A separate data from the federal statistical office indicated that the German economy experienced a quarter-on-quarter expansion of 0.3% in the final three months of 2025, marking the most robust performance in three quarters. This growth surpassed the previous period’s flat reading and exceeded forecasts of 0.2%, according to preliminary estimates. The German government projects an economic expansion of 1% for the year 2026. Projected growth for 2027 is estimated at 1.3%. Germany’s seasonally adjusted unemployment rate remained unchanged at 6.3% in January 2026, underscoring a sluggish and uneven recovery in Europe’s largest labor market. On a non-seasonally adjusted basis, unemployment increased by 176,600 to 3.08 million, reaching its highest level in nearly 12 years. A preliminary reading on consumer price inflation for January is expected to be released later today.