Dax over 14,800 points before breakout - financial expert analyzes market events before the Fed interest rate decision

Dax over 14,800 points before breakout - financial expert analyzes market events before the Fed interest rate decision

According to a report from finanzmarktwelt.de, the Dax rose slightly on Tuesday as inflation eased and shares of BASF and Qiagen increased in value. The leading German index closed the trading day with an increase of 93 points (0.64%) at 15,810 points. The Dax has now recorded a higher daily low for the fourth day in a row, indicating a possible recovery. Nevertheless, there is a monthly loss of 3.8%. Declining inflation in the Eurozone had a supportive effect, as prices in October “only” rose by 2.9% (previously 4.3%) compared to the same month last year. The Fed's interest rate decision in the evening can now provide further impetus for the stock markets.

According to the article, the Dax has not yet been able to completely free itself from its narrow range between 14,660 and 14,815 points, but this could be achieved in current trading. There are technical indicators that suggest that investors are currently very bearish and the market is oversold. The negative sentiment on the stock markets is often interpreted as a contrarian indicator, which could lead to an extension of the recovery.

Regarding possible impacts