Yahoo Finance DAX Index Daily Price Forecast – DAX to Trade Positive on Sino-U.S. Trade Talk Optimism
European market yesterday saw major indices and equities trade with mixed momentum as lingering influence from Friday’s speech by European central bank executive board member Coeure’s speech on plans for TLTRO continued to weigh down investor sentiment in the European equity market. However positive cues from US Wall Street and Asian equities influenced by Sino-U.S. trade talk optimism limited decline in the market. On the release front, macro data calendar was silent yesterday and trading volume was further reduced as investors held back from placing bets ahead of Euro area ZEW updates scheduled to release today. At end of the trading session yesterday, the German stock market saw divided outcome despite bulls recovering momentum later in the day.
Macro Data Outcome To Provide Directional Cues For DAX
While sectoral indices data hinted at positive closing for the week, DAX index which is the benchmark of Frankfurt stock exchange used to measure the overall performance of equities closed on neutral note. Out of total 778 stocks trading in the exchange, 400 stocks closed in green while 72 closed unchanged at end of trading session. As per data on the performance of sectoral indices from Frankfurt stock exchange, 10 of 18 sectoral indices closed positive for the day and stocks from Software, Media and retail sectors were the top gainers of the day seeing more than 1% increase in value. While DAX closed near neutral levels, other two major German indices saw a upside move and DAX, MDAX & TECDAX indices closed for the day with -0.01%, 0.57% & 1.48% change in value respectively.
Asian equity market today opened positive and traded in green on all major markets as optimism surrounding Sino-U.S. trade talks continue to underpin demand for risk assets. A new round of trade talks is set to being in Washington, the U.S.A. later today and optimism surrounding same is expected to keep investor sentiment in favor of risk assets in all major global markets. DAX futures trading in the international market were up by 0.69% on the day ahead of the Frankfurt market opening. Positive cues from US Wall Street and Asian market are likely to inspire positive opening in German equity market today. But disappointing macro data update in Euro area macro calendar today could induce a dovish decline later in the day.
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This article was originally posted on FX Empire
