The DAX benchmark, which monitors the performance of the 40 largest companies on the Frankfurt Stock Exchange, continued to trade negatively amid a bearish global market sentiment influenced by tariff concerns and anxieties surrounding AI. Earnings updates from index constituents also influenced market sentiment. The DAX benchmark has declined by 0.10 percent on Tuesday, trading at 24,962.60 compared to the previous close of 24,986.58. The day’s trading fluctuated, reaching a peak of 24,979.70 and dipping to a low of 24,878.10. Despite Monday’s losses that exceeded 1 percent, the index is maintaining a robust gain of 11.3 percent over the past year. The index reached an unprecedented peak of 25,507.79 on January 13.
In the 40-scrip index, 18 scrips are currently trading in the overnight red zone. E. ON achieved a rise of 2.6 percent. Continental, RWE, Symrise, Vonovia, and Hannover Ruck have all experienced a rally exceeding 1.5 percent. MTU Aero Engines experienced the most significant losses, with a decline of 6.7 percent, while Fresenius Medical Care followed closely with a decrease of 6.2 percent. SAP and Deutsche Bank have both experienced losses nearing 1.5 percent. Amid concerns regarding the dollar’s potential decline in safe haven status, the greenback continues to demonstrate resilience.
The six-currency Dollar Index has strengthened to 97.82, up from 97.71 on Monday. The EUR/USD pair has increased by 0.03 percent to 1.1788, having fluctuated between 1.1797 and 1.1768. The EUR/GBP pair is currently trading at 0.8731, reflecting a decline of 0.08 percent. In the wake of the yen’s decline, linked to reports of Prime Minister Takaichi voicing concerns over additional rate increases by the Bank of Japan, the EUR/JPY pair has surged 0.81 percent to 183.73.
Despite the uncertainty surrounding tariffs and the possible effects on the fiscal position, yields on U.S. treasuries have risen, while bond yields in other regions are generally trending downward. In tandem, ten-year German bond yields have decreased by 0.59 percent overnight, now standing at 2.7000 percent. The yield, which stood at 2.7160 percent at the previous close, fluctuated between 2.7109 percent and 2.6999 percent during the day’s trading.