FRANKFURT (dpa-AFX) - Following a robust session during the Ascension Day holiday, the Dax is poised for a downward turn on Friday. Approximately two and a half hours before the Xetra open, broker IG signaled a 1.2 percent decline for the German benchmark index, placing it at 24,173 points. This move would see the index slip back below its 100-day moving average toward the 200-day line, currently situated at 24,118 points. Both trend indicators are presently moving sideways, suggesting a lack of clear direction for the Dax despite significant volatility in both directions.
The broad-market S&P 500 index climbed above the 7,500-point threshold for the first time on the previous evening, nearing a 10 percent year-to-date gain. Stephen Innes of SPI Asset Management referred to an 'AI mania' that has transformed Wall Street into a 'momentum machine'. The tech-heavy Nasdaq 100 has already surged by 17 percent this year. By comparison, the Dax remains slightly in the red for 2026 so far.
However, the strong lead from the US is being overshadowed this morning by sharp losses in Asia. According to Innes, the initial optimism surrounding the meeting between the Chinese and US presidents is fading. While the encounter may have eased tensions slightly, the 'structural rivalry' remains intact. Meanwhile, oil prices, which were already elevated, continue to climb due to the ongoing and unresolved conflict between the US and Iran./ag/mis
