Frankfurt (dpa -AFX) – The DAX jumped on Monday for the first time about the 23,000 points mark and has also recorded the highest daily profit since November 2022. A price rally in the armaments industry and strong profits, even with auto shares, even made a jump over 23,300 points at the start of the week. Ultimately, the German leading index went out of retail to 23,147.02 points.
The trigger in the armaments area between Ukrainian President Wolodymyr Selenskyj and US President Donald Trump on Friday. Auto shares have been inspired by the hope of a delay in EU climate guidelines.
After a significant win of a little more than 5 percent in February, the start of March has also been successful. In the young year 2025, the DAX has already increased by a little more than 16 percent.
“The last pessimists are now moved into the market by the very violent market dynamics,” commented Marker observer Andreas Lipkow. However, the question is how long this price level can be kept in the current geopolitical environment.
For the MDAX of medium -sized companies, 2.45 percent has been up to 28,990.98 points up to the highest level in almost a year. The stock exchanges rose similarly across Europe: the British FTSE 100, the Swiss SMI and also the EuroStoxx 50 reached as the DAX record heights. Ultimately, the leading index of the euro region went from the day with a plus 1.41 percent to 5,540.69 points, while moderate losses were booked at the same time in the United States.
“The gap between Europe’s stock markets and Wall Street has opened a little further today,” summed up chief market analyst Jochen Stanzl from CMC Markets and pointed out the expectation of significantly higher defense spending in Germany and the European countries in general. Since the sheer amount of the capital requirement for upgrading can only be financed by debt, a sale of German government bonds must be observed at the same time. “Although Germany benefits from comparatively low interest rates and a low debt rate, hundreds of billions of euros that are up for debate are an announcement. The bond market will have to digest this first.”
The hope of a new special fund for the Bundeswehr In Germany and increasing defense spending on Europe, the shares of the armaments industry further drove up. Rheinmetall temporarily rapidly to another record high by almost a fifth and ultimately went out of retail with plus 13.7 percent. A study by the US bank JPmorgan provided additional tailwind about the reimbursement cycle in Europe that has become “reality”. Analyst David Perry therefore raised his price targets for stocks from the industry by 25 percent. His new Rheinmetall course goal is now 1,200 euros.
The Hensoldt papers, which ultimately rose by 22.3 percent, also reached a new maximum brand. Thyssenkrupp rose by 10.6 percent and benefited from the marine division TKMS of the industrial group, which is to be split off soon. Renk won almost 19 percent in the SDAX. In the Dax, Airbus (Airbus SE (ex EADS)) also benefited with plus 5.9 percent and MTU (MTU Aero Engines) with a plus 3.4 percent.
Car values were also highly in demand. In view of the impending CO2 penalties, EU Commission President Ursula from Leyen wants to admit more time to meet EU requirements. She will propose a targeted change in the CO2 standards this month, she said in Brussels. Instead of annual compliance with the limit values, companies should have three years.
Volkswagen’s shares (Volkswagen (VW) VZ) then climbed by 2.3 percent. Mercedes (Mercedes-Benz Group (ex Daimler)), BMW and Porsche AG (Porsche) rose between 1.6 and 3.6 percent. Daimler Truck won 2.6 percent from the commercial vehicle industry.
Real estate values, on the other hand, were one of the final lights in the German indices. For example, Vonovia (Vonovia SE (Ex Deutsche Annington)) lost 3.5 percent in the DAX, because Germany’s prospect of massively debt -financed investment budgets. The financing of the special fund could have a significant impact on interest rates.
The mood of the investors at the start of the week also raised gratifying economic data. In February, industrial mood improved both in Europe and in China – despite trade disputes with the United States. In addition, the inflation rate went in the Euro zone back, albeit less than expected. “One Interest rate On Thursday, in view of the available figure, Thomas Gitzel from VP Bank stated in view of the upcoming meeting of the European Central Bank (ECB). On Friday, the US labor market report should also provide information on the future Monetary policy deliver the US Federal Reserve Fed./ck/ngu
— from Claudia Müller, dpa-Afx —