The leading German index will try to stabilize on Tuesday. The reason for this is slightly falling oil prices.
After the DAX was ultimately able to reduce its losses at the start of the week, it opened Tuesday’s session 2.04 percent higher at 23,886.38 points. He can then temporarily expand his profits and trade above the 23,900 point mark.
Energy prices in focus
However, with oil prices falling slightly, the DAX is likely to continue to recover from its recent low on Tuesday.
On Monday morning, the DAX had initially plunged to 22,927 points as a result of the Iran war, which had escalated over the weekend, and the rally in oil and natural gas prices. The shock after the weekend only lasted half an hour, then some investors gradually looked for their opportunity again.
The panic in the energy market has disappeared as quickly as it appeared, commented Stephen Innes from SPI Asset Management. The recovery was driven by the classic headlines, including the prospect of an early end to the war given by US President Trump.
If the war can actually be ended more quickly than previously expected, the geopolitical risk premium on the oil market will be reduced rapidly, said Innes. Instead of continuing to pursue the “no end in sight” scenario, the “front run towards the final” is already starting.
DAX record last in January
On January 13th, the DAX reached an all-time high of 25,507.79 points, exceeding the 25,500 point threshold for the first time in its history. Ultimately, it ended the day at 25,420.66 points, which was a new record based on the closing price.
Editorial team finanzen.net / dpa-AFX / Dow Jones Newswires
