German Equities Close Higher; US-Iran Tensions Flare
Germany's blue-chip DAX index was in the green on Tuesday, closing 0.12% higher, following US threats to block Iranian ports again and impose a 20% transit fee on vessels passing through the Strait of Hormuz. "Whether this is actually being implemented cannot be definitively assessed as of this morning. We doubt, however, that the U.S. is militarily capable of securing the route in such a way that ship transit is possible without any danger. Instead, this seems to us to be more of a negotiating tactic intended to pressure Iran into making concessions during the negotiations," Metzler Capital Markets said. On the geoeconomic front, an ifo Institute study warned that the European Union faces the risk of failing to achieve its critical raw material independence targets amid a lack of concrete projects and inadequate geological data. To secure the resources needed for technologies required for segments like defense, renewables and semiconductor manufacturing, ifo researcher Isabella Gourevich urged the EU to move past declarations of intent and immediately fund partnerships and local mining projects, noting that developing untapped deposits could take up to 18 years. In local.
Germany's blue-chip DAX index was in the green on Tuesday, closing 0.12% higher, following US threats to block Iranian ports again and impose a 20% transit fee on vessels passing through the Strait of Hormuz. "Whether this is actually being implemented cannot be definitively assessed as of this morning.
We doubt, however, that the U.S. is militarily capable of securing the route in such a way that ship transit is possible without any danger.
Instead, this seems to us to be more of a negotiating tactic intended to pressure Iran into making concessions during the negotiations," Metzler Capital Markets said.
On the geoeconomic front, an ifo Institute study warned that the European Union faces the risk of failing to achieve its critical raw material independence targets amid a lack of concrete projects and inadequate geological data.
To secure the resources needed for technologies required for segments like defense, renewables and semiconductor manufacturing, ifo researcher Isabella Gourevich urged the EU to move past declarations of intent and immediately fund partnerships and local mining projects, noting that developing untapped deposits could take up to 18 years.
In local.