Inflation data gives the DAX a boost: financial experts analyze the recent price recovery

Inflation data gives the DAX a boost: financial experts analyze the recent price recovery

Stock exchange in Frankfurt

Inflation data gives a boost to the DAX price recovery

Aktualisiert: 29.09.2023, 18:21

| Lesedauer: 3 Minuten

At the end of the week, the German stock market continued its recovery from the previous day. Encouraging inflation data temporarily provided a significant boost, but by Friday evening much of the tailwind had ebbed again. The leading index Dax closed with a gain of 0.41 percent at 15,386.58 points, well below its daily high. On a weekly basis, the stock market barometer is in the red by around one percent.

The German stock market continues its recovery, driven by encouraging inflation data. The leading index Dax was able to recover significantly, but closed below its daily high. On a weekly basis, the Dax is still in the red. The MDax, on the other hand, was able to jump over the 26,000 mark and recorded an increase of 1.39 percent. The EuroStoxx 50 rose 0.31 percent, France's Cac 40 rose 0.26 percent and Britain's FTSE 100 rose 0.08 percent. The Dow Jones Industrial in New York, on the other hand, fell by around 0.2 percent.

According to a report by www.abendblatt.de The European stock markets were well developed at the end of the week after previously being in the red due to renewed interest rate concerns. The market welcomed the declining inflation data from the Eurozone with relief. In the euro area, inflation fell more than expected in September, but the European Central Bank's medium-term inflation target is still being exceeded.

These developments could have an impact on the market. The positive price recovery in the DAX could lead to investors becoming more willing to invest and thus continue to support the market. Declining inflation data could also lead central banks to keep interest rates high to contain inflation. This could have long-term implications for the financial industry as higher interest rates could increase borrowing costs.

It remains to be seen how the market will develop further, but current data suggests that the German stock market could continue its recovery for the time being.