FRANKFURT (dpa-AFX) - The German equity market showed a mixed performance on Thursday. While blue chips in the Dax retreated, mid- and small-cap stocks trended higher. A moderate upward movement across all indices was observed in late trading following a report from the US news website 'Axios' stating that US and Iranian negotiators have agreed on a 60-day letter of intent to extend the ceasefire in the Middle East. Negotiations regarding the Iranian nuclear program are also set to commence, according to Axios, which added that President Trump has yet to give his final approval.
The German benchmark index, which had been trading down approximately 0.7 percent prior to the news, briefly turned positive before paring gains to close 0.34 percent lower at 25,092.25 points. The MDax, representing mid-cap companies, moved out of negative territory following the Axios report to end with a gain of 0.70 percent at 33,239.89 points. The small-cap SDax index continued its record-breaking run, ultimately gaining 0.85 percent.
Andreas Lipkow, Chief Market Analyst at CMC Markets, described the Dax's reaction as a brief jump for joy but cautioned that potential compromises have been signaled many times before, only to end in disappointment. '...only once the ink is dry can one consider a repositioning in the equity market,' Lipkow noted./edh/he
