DAX Rollercoaster Continues: Supreme Court Ruling Saves the 25,000 Mark
The ups and downs on the Frankfurt floor enter the next round: Thursday's dismal performance was followed by a hopeful counter-movement on Friday. Fortunately, the rollercoaster ride ended on a high note, closing above the psychologically critical 25,000-point mark at 25,260.69 points. For the DAX, this conciliatory end to the week is essential; only if this level is sustainably confirmed can the index gather the necessary strength for another push toward a new all-time high.
The primary driver for this sudden shift in sentiment was a major surprise from Washington: the US Supreme Court ruled several of Donald Trump’s imposed tariffs to be unlawful. Trump reacted promptly with sharp criticism of the judiciary and has already threatened new decrees. Since the final word has clearly not been spoken, investors must prepare for further erratic price movements and sustained high volatility.
Ultimatum to Tehran: Geopolitics as a Ticking Time Bomb
Another issue is rapidly gaining explosive potential and could dominate the upcoming trading week. The US military buildup in the Middle East is accompanied by a drastic 15-day ultimatum to Iran. Trump is demanding an immediate agreement in the nuclear dispute to avert a looming military strike. These threats are already clearly reflected in oil prices, which have risen sharply as a geopolitical seismograph. News regarding this conflict must remain at the top of the radar in the coming days, as any escalation could immediately put the DAX under pressure.
Week Starts with ifo Index: Optimism at a Crossroads?
Today, Monday, the market begins with anticipation for the ifo Business Climate Index. Analysts expect a slight brightening of sentiment in German boardrooms. However, the question remains: are the CEOs truly more optimistic than their purchasing managers? The PMI data from last week presented a mixed picture at best. A strong ifo index would be the ideal foundation to bolster the current upward trend.
Technical Summary: Reaching for the Resistance
Technically, the situation has brightened slightly following Friday’s gains. The DAX has worked its way back toward the resistance level at 25,250 points. This area must be decisively overcome to clear the path upward. However, should the bulls fail here again, quick profit-taking could ensue, potentially pushing the index back below the 25,000 mark in short order.
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