Stock exchange - Dax ends the week on a positive note
In spite of weak industrial data, investors returned to the German stock market at the end of a rather strong week. German industrial production fell by 2.5% in May, while analysts had expected a slight increase on average. This was the most notable setback since the end of 2022. The production figures would have disappointed in full if it weren't for the comment from economist Thomas Gitzel of VP Bank: "The production numbers would have been even more disappointing."
The DAX rose on Friday in early trading despite this, reaching its highest level since mid-June and recording a 0.32% increase to 18,510.14 points. This suggests a weekly gain of around 1.5% and the third stabilization week in a row for the leading index. The correction in mid-June has largely recovered, and the index is slowly starting to look towards the May record of 18,892 points.
The MDax gained 0.41% on Friday morning to 25,644.40 points. The Eurozone leading index EuroStoxx went up by around 0.3%.
Wall Street impulses were missing due to the fact that trading was not conducted on the 4th of July. However, the US employment report was the highlight of the week in the afternoon. It had to react to the monetary policy turnaround in Europe and signal whether the US Federal Reserve might follow suit.
Despite the negative industrial data and the DAX's initial anticipation of a decline, there were signs of optimism in German finances. Some investors viewed the stock exchange in Frankfurt am Main as an opportunity, with the DAX closing Friday at its highest level in overseas markets since mid-June, marking a 0.32% increase to 18,510.14 points. Even the MDax, a smaller German stock index, saw a gain of 0.41%, pointing towards a resilient German stock market, despite the declining production figures. However, the performance of the German stock market remained closely tied to global developments, such as the US Federal Reserve's potential monetary policy shift.
