Germany's DAX hits fresh record high, up over 1%

Germany's DAX hits fresh record high, up over 1%

The German stock market index, the DAX, has reached a new record high, up by more than 1% on Wednesday. According to broker IG, the German benchmark index is estimated to be at 24,235 points, around 0.1% higher, just two and a half hours before the start of Xetra trading [1].

This significant gain extends the DAX's weekly increase to nearly 2%, breaking its recent correction trend from the record high set in early June. Despite the ongoing trade dispute with the United States, investors have largely ignored the stalemate, with the deadline for new tariffs being postponed to August 1 [1].

Additionally, the rise in the DAX was bolstered by the performance of Salzgitter, whose shares surged more than 23% after Germany approved the military use of the company's Secure 500 steel product. This surge helped the German small-cap SDAX index hit a fresh record high, outperforming the DAX [2].

The DAX's record high comes amidst a broader positive market sentiment, with European equity indices rising strongly on Friday due to optimism surrounding trade talks between the United States and China [3]. The German stock market's performance is also influenced by the improving risk appetite, as seen in the Asian and US stock futures that rose on Friday [4].

References:
[1] https://www.marketscreener.com/quote/index/DAX-7395/news/DAX-Continues-Its-March-Towards-Record-High-50464166/
[2] https://www.marketscreener.com/quote/index/DAX-7395/news/Salzgitter-soars-after-Germany-clears-military-use-of-steel-product-50459148/
[3] https://www.investing.com/indices/germany-30
[4] https://www.boerse-frankfurt.de/en