DAX, Germany’s leading stock market index, has broken a groundbreaking figure of 22,000 points for the first time.
The Frankfurt-based index, which measures the overall performance of the top 40 German companies, rose 0.4% on Tuesday to a record high of 22,003.91 points before sinking again.
The landmark took place less than a month after DAX first broke the 21,000-point mark on January 20th, and just a few months after it first surpassed 19,000 in September.
Experts have increased their performance to silence interest rates as it appears that investors have not put off with President Donald Trump’s return to the White House.
Profits remain concentrated among some companies
Certainly, the latest peak comes despite fears of escalating trade disputes after Trump announced tariffs of up to 25% on steel and aluminum imports.
Therefore, you need to be careful about whether DAX can preserve that record tempo.
“The market is currently drawing a very optimistic picture of a booming economy, but at the same time, interest rates are falling,” Thomas Altmann, portfolio manager at investment management company QC Partners, told Reuters. .
“But given the high ratings, the stock market remains unstable.”
Stock market analyst Andreas Lipcow told AFP News that only a few companies were behind the profits.
“Most industries and sectors can’t keep up. Only a few multinational stocks can benefit from investor demand,” Lipcow said.
Most of the companies in the index are “still loose,” he added.
Editor: Wesley Larne
