German stocks advanced on Monday, propelling the benchmark DAX to a new record high. This movement was supported by robust factory orders data, alongside expectations of strong earnings updates and a reduction in inflation concerns, which bolstered market sentiment.

The DAX, having reached a new peak of 25,902.91, was up 47.74 points or 0.18% at 25,845.22 around noon.

• Scout24, increasing by 2.75%, emerged as the leading performer in the benchmark index.
• SAP and Deutsche Boerse experienced an increase of nearly 2% compared to their prior closing levels.
• Rheinmetall, Adidas, Fresenius, Zalando, Hannover RE, Beiersdorf, and Munich RE experienced gains ranging from 1% to 1.8%.
• Vonovia, Siemens Healthineers, Daimler Truck Holding, Symrise, Deutsche Telekom, Mercedes-Benz, Volkswagen, Fresenius Medical Care, Commerzbank, and BMW also experienced upward movement.
• Among the underperformers, Infineon Technologies declined by nearly 2%.
• Hochtief experienced a decline of 1.7%, while Continental saw a decrease of 1.4%.
• Additionally, Siemens Energy, Siemens, RWE, and Merck recorded losses ranging from 0.4% to 1%.

Germany’s factory orders experienced a robust recovery in May, increasing by 1.9% month-on-month, following a revised decline of 3.2% in April, according to data released by Destatis. Orders were projected to increase by 1.1%. Excluding large scale orders, new orders experienced a 1% increase compared to the prior month.

Germany’s construction sector experienced a continued contraction in June, although the rate of decline has moderated, according to purchasing managers’ survey data. The construction Purchasing Managers’ Index recorded a value of 44.8 in June, an increase from 42.4 in the preceding month. This represents the peak score observed since March.