Dax and Wall Street are soaring: Investors are celebrating new records!

The German stock markets recorded noticeable gains last week. The DAX was able to show a plus on every trading day, which is primarily due to positive impulses from well-received quarterly reports and hopes in the customs conflict. US President Trump appears ready to grant relief on automobile taxes as the Chinese government explores the possibility of trade negotiations with the US. The DAX gained 3.8% and closed at 23,086.65 points. The MDAX also rose by 3.6% to 29,327.13 points, while the TecDAX climbed by 3.9% to 3,728.93 points, as finance.net reported.

The biggest weekly winners in the DAX include Rheinmetall, up 13.7%, and Airbus, which gained 10.2%. In contrast, automotive stocks such as Volkswagen (-1.3%), BMW (-2.0%), Mercedes-Benz (-2.4%) and Porsche AG (-4.0%) recorded price losses. The bond markets in Germany are volatile and are falling slightly; The yield on the ten-year federal bond rises from 2.47% to 2.51%.

US markets and economic outlook

The US stock markets have continued their recovery. The Dow Jones index rose 3.0% to 41,317.43 points, while the S&P 500 rose 2.9% to 5,686.67 points and the Nasdaq-100 climbed 3.4% to 20,102.61 points. Analysts expect a further increase on the German stock markets and are optimistic about the reporting season, in which numerous companies such as BMW, Commerzbank, Continental, Fresenius and Siemens Energy will publish their figures tagesschau.de reported.

In the short term, the focus is on monetary policy, in particular on the outcome of the US Federal Reserve's meeting, where it is expected that the key interest rate will not be changed. Important economic data is due next week, such as the ISM index, services indices, trade balances as well as work orders and industrial production.