Stock exchange in Frankfurt - Leading index Dax just below record level
The Dax remained just below its recent record high this morning. At midday, the leading German index gained 0.11% on the previous day's close to 16,810.66 points. The MDax mid-cap index rose by 0.14% to 26,620.38 points. The eurozone index EuroStoxx was up 0.2 percent.
Since last Tuesday, the Dax had reached record highs with one exception - the previous day at 16,837 points. It had thus extended its year-end rally since the interim low in October to a good 15 percent.
The focus today is on the key interest rate decision in the USA this evening. At its last interest rate meeting of the year, the US Federal Reserve is likely to remain silent on monetary policy once again. Market participants expect both the US Federal Reserve and the European Central Bank (ECB) to cut interest rates in the coming year.
Among individual stocks, the German market was moved by analysts' reclassifications in the middle of the week. A double upgrade from "sell" to "buy" by the Swiss bank UBS gave further impetus to the recovery in BASF shares. The chemical company's shares rose by four percent at the top of the Dax. Chemical stocks were generally in demand.
Bank of America issued a "buy" recommendation for Continental, as a result of which the shares of the automotive supplier and tire manufacturer rose by 2.4 per cent. Fraport climbed 1.7 percent following the airport operator's traffic figures for November.
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- Despite the US Federal Reserve's anticipated silence on monetary policy this evening, the Dax remains close to its recent record high of 16,837 points, which it reached last Tuesday, except for the previous day.
- The leading German index, Dax, and its mid-cap counterpart, MDax, showed market resilience, with the Dax at 16,810.66 points and MDax at 26,620.38 points, both slightly above their last exchange levels in Frankfurt on the Main.
- The Frankfurt Stock Exchange also recorded a rise in shares, driven by positive analyst sentiment, with companies like BASF and Continental seeing their shares reach record highs following buy recommendations from Bank of America and UBS, respectively.
- This trend in Frankfurt follows the US Central Bank's consistent interest rate decisions, as market participants expect similar approaches in the coming year, while the ECB is also anticipated to lower interest rates.
- In Frankfurt on the Main, the Frankfurt Stock Exchange's leading index, Dax, is closely watching the exchange rate between the euro and the US dollar as a potential indicator for future market dynamics, given the crucial role of the US Federal Reserve's monetary policy decision.
Source: www.stern.de
