Is it possible for Dax to fill up on gas before the upcoming weekend?
Today, the German stock market took a dive due to the Federal Reserve's tight monetary policy. Investors ain't too pleased with the raising of interest rates, and it shows. Yesterday, the DAX closed nearly a percent down, finishing at 13,130.19 points.
Meanwhile, real estate heavyweight Vonovia managed to score some major profits this year, and they've confirmed their forecast. But that ain't all folks are watching — they're keeping a close eye on the final October purchasing managers' indices. The consensus among experts is that both Germany's services sector and industry will maintain stability in the near future.
As we gaze into the crystal ball of May 2025, predictions for the DAX are a mixed bag. Some soothsayers suggest the index will end the month around 23,307, while others think it'll be slightly lower, around 22,843. Meanwhile, some are throwing out numbers as high as 28,992, but that seems a bit ambitious.
What's driving the gains? Tariff optimism and easing trade tensions have been pushing the index near record highs, flirting with the 23,471 mark. But don't get too comfortable — there are still economic challenges on the horizon, like Germany's troubles due to U.S. tariffs and the Fed's monetary policy.
So, what about the future? The coming months seem to promise moderate growth, with average values ranging from 22,966 in June to 23,714 in September. Long-term forecasts indicate that the DAX could get a wild ride due to economic uncertainties.
Overall, while the DAX is dealing with monetary policy and trade tensions, there's still a glimmer of optimism thanks to positive trade developments and fiscal stimulus in Europe. But just remember: there's no crystal ball, and predictions can change faster than you can say "interest rate."
Despite the downturn in the German stock market due to the Federal Reserve's tight monetary policy, real estate giant Vonovia has managed to record significant profits this year. However, investors are not solely focused on Vonovia; they are also keeping an eye on the final October purchasing managers' indices, as highlighted by the consensus among experts. Meanwhile, predictions for the DAX in May 2025 range from 22,843 to 28,992, with economic challenges like U.S tariffs and the Fed's monetary policy looming on the horizon.
