Investors did not fully trust the tariff peace decided by the U.S. court. From the very start of trading, the DAX turned directly southward and ended the trading day down 0.4 percent, closing below the 24,000-point mark at 23,933 points. Later in the day, reports promptly came from the U.S. that an appeals court had already overturned the initial court ruling in an expedited procedure. Market participants thus showed a good sense for the fact that the final word on tariffs has not yet been spoken.
Nonetheless, it should be noted that, despite all the news surrounding tariff developments, the German stock index continues to present a strong and stable impression. The DAX stands out not only compared with U.S. stock markets but also against European equity markets through its relative strength.
Shares of Porsche rose 1.5%, Henkel gained 1.3%, and Qiagen climbed 1.1%—making them yesterday’s top performers in the DAX. Once again, Zalando occupied last place together with Siemens AG, both down 2.3%. Vonovia shares also declined, falling by 2.1 percent.
Profit-taking threatens to pressure prices ahead of week- and month-end
It remains to be seen today whether DAX investors will take profits as the month comes to a close, which could further pressure the index and lead to another red session. If Thursday's low is broken today, a rise in volatility cannot be ruled out, potentially pushing the next daily support level down to around 23,600 points. However, if definitive positive news regarding the tariff dispute comes out of the U.S., it cannot be excluded that the DAX might resume its upward trajectory toward the north.
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