DAX Finishes on Solid Footing
Frankfurt’s DAX 40 closed about 1.1% firmer at 25,222 on Friday, halting a two-day losing streak and outperforming its European peers. Strength in the technology sector provided the main boost, while lower oil prices and stabilizing bond yields added to the positive sentiment. Investors pushed aside recent concerns about interest rates and inflation, following the announcement that G7 and partner countries plan to release up to 100 million barrels of crude oil and diesel from strategic reserves. Weaker-than-expected US employment data also tempered expectations of further Federal Reserve rate increases. Meanwhile, Eurozone inflation hit a three-year high of 3.8% in September, above the 3.6% expected, but the recent bond selloff could make the ECB wary of further rate hikes. For the week, the index lost about 0.7%.
1% firmer at 25,222 on Friday, halting a two-day losing streak and outperforming its European peers. Strength in the technology sector provided the main boost, while lower oil prices and stabilizing bond yields added to the positive sentiment. Investors pushed aside recent concerns about interest rates and inflation, following the announcement that G7 and partner countries plan to release up to 100 million barrels of crude oil and diesel from strategic reserves. Weaker-than-expected US employment data also tempered expectations of further Federal Reserve rate increases.
6% expected, but the recent bond selloff could make the ECB wary of further rate hikes. 7%.