On Thursday, Frankfurt’s DAX 40 experienced an increase of approximately 0.7%, surpassing the 25,700 mark and achieving its highest level in over a week. This uptick occurred amid a decline in oil prices and a reduction in global bond yields, following the expected 25-basis-point rate hike implemented by the US Federal Reserve.
Fed Chair Kevin Warsh upheld a resolute position on inflation, simultaneously preventing a resurgence in long-term yields, a development that provided reassurance to investors.
President Trump’s threat of “very serious tariffs” or trade restrictions in reaction to European Commission President Ursula von der Leyen’s proposal to allow Canada to become the bloc’s first “associate member” brought trade tensions into sharp relief. Most sectors experienced positive performance, with industrials and autos at the forefront.