• March as the best month on average for the DAX
• Two months out of the last 20 years are in the top four months
• November 2020 in ninth place
The DAX
The German share index measures the performance of the 40 largest and most profitable companies in Germany, including adidas, SAP and Volkswagen. The DAX was introduced in 1988 as an index of the 30 most important listed German stock corporations, in September 2021 the stock index was expanded to 40 companies. However, the performance of the largest German companies has been measured since the DAX predecessor “Hardy Index”. Eight years after its introduction, the DAX became the focus of public attention in 1996 when Deutsche Telekom went public, which was able to gain attention through a large advertising campaign. Of the 40 DAX companies today, nine have been part of the leading index since the beginning and without interruption. According to Statista, March is the DAX’s best month in terms of performance up to January 2023. According to Statista, the German share index has recorded an average increase in value of 1.57 percent in March since 1959.
The best months
April 2009 ranks fourth among the best months for the DAX. Overall, 2009 was a turbulent year for the German share index. In the first two months of the year, the DAX fell by 22 percent to 3,600 points. Investors were not discouraged by this, however, and predicted that the market would improve. Finally, in April, the DAX increased by 16.76 percent.
July 1997 ranked third among the best months with a performance of 17.25 percent. Before that, Telekom’s IPO in November 1996 attracted the interest of many who were previously non-shareholders. Encouraged by the success of Telekom shares, investors invested in more shares, so that in January 1997 the DAX exceeded the 3,000 mark for the first time. Due to the growing attention of the population for the stock market, a new market for young and promising companies was founded on March 10th. Due to the many gains that both companies and investors were able to record during these months, interest in securities continued to grow. On July 8th, the DAX finally reached the 4,000 mark and on July 30th even recorded a new high of 4,458 points.
The second best DAX month is December 1999 with a performance of 18.01 percent. Although there was little interest in securities at the beginning of the 1990s, Telekom’s IPO also played a role in this placement. At the end of the 1990s, for example, the Telekom share prompted many to enter the stock market for the first time or to re-enter it. Nevertheless, the market was still considered uncertain. However, once the Asian and Russian crises were over, the market became more secure. In December 1999, 14 months after the Russian crisis, the DAX reached a new record high of 6,958 positions.
First place in the best months of the DAX goes to April 2003 with a performance of 21.38 percent. The DAX had previously fallen to 2,203 points in March 2003, shortly before the start of the first combat operations in the Iraq war. However, from a later perspective, the March slump proved to be the best time to enter the market. A long-term bull market germinated on the stock market and as early as April the DAX was back at 2,942 units.
November 2020
November 2020, with a performance of 15.01 percent, is in ninth place in the top ten months of the DAX. In March 2020, the DAX slipped to 8,255 points during the Corona crisis. However, the mood on the stock market then lifted, among other things, due to the vaccine report from the US pharmaceutical company Moderna. In November, the DAX then reached a value of 13,291 places and the largest monthly gain in 12 years.
Editorial office finanzen.net
Leverage must be between 2 and 20
No data
More news about adidas
Image sources: Ralph Orlowski/Getty Images, Julian Mezger for Finanz Verlag