DAX Climbs to New Record High and Siemens Energy Leads the List of Winners

The market sentiment in Germany remains characterized by optimism, as evidenced by the rise of the DAX to a record high. The leading index closed the trading week up 0.15 percent at 18,205.94 points, continuing its record run. Experts at Landesbank Hessen-Thuringia point out that the upward trend remains intact, but urge caution as indicators could signal an overbought situation. Notably, the Siemens Energy stock ended the day with a remarkable gain of 4.2 percent. The MDAX, which includes mid-sized companies, also showed a positive side with an increase of 0.57 percent to 26,622.83 points. Meanwhile, the US markets experienced a cooling of their recent record rallies, closing with slight losses in some cases. European benchmark indices such as the EuroStoxx 50 and the French CAC 40 fell towards the end of the week, while the British FTSE 100 recorded gains. The outlook for the US economy and expected interest rate cuts kept the DAX above the 18,000-point mark and played a significant role in the weekly gain of 1.5 percent. In Germany, the business mood also seems to be improving, as evidenced by the Ifo Business Climate Index and positive comments from Ifo President Clemens Fuest. Jörg Krämer of Commerzbank sees a glimmer of hope in the rise of the Ifo Business Climate Index. The earnings season remains a focus for investors, with DHL able to record a share price gain of 2.1 percent after positive quarterly figures from competitor FedEx. In contrast, weaker outlooks from US manufacturers Nike and Lululemon initially had a negative impact on Adidas and Puma, although Adidas ended the trading day in the positive. At the top of the MDAX was Hensoldt with a gain of 7.1 percent after the company announced the imminent acquisition of ESG. Rheinmetall reached a share value of over 500 euros in the DAX for the first time, recording a gain of 1.8 percent. Meanwhile, Cewe gave a cautious outlook for the fiscal year 2024, causing its shares to fall by 6.8 percent. Despite a restrained outlook, SGL Carbon was able to top the SDAX and rose by 5.3 percent. The euro fell on Friday to its lowest value since early March, standing at 1.0807 US dollars at the close of the market. The fixed reference rate was 1.0823 dollars. The bond market recorded a slight decrease in the current yield to 2.41 percent, while the Bund future rose by 0.64 percent to 133.09 points.