FRANKFURT (dpa-AFX) - Hopes for a de-escalation in the US tariff dispute and the jump in SAP shares pushed the DAX above 22,000 points on Wednesday. However, the leading index was unable to hold above this psychologically important mark. Trading remains nervous and volatile, warned chief market analyst Jochen Stanzl of broker CMC Markets.
The DAX ended the day up 3.14 percent at 21,961.97 points. The MDAX rose 1.41 percent to 27,663.22 points. The EuroStoxx 50, the leading index for the eurozone, rose by 2.77 percent to 5,098.74 points. The leading stock exchanges in London and Zurich also gained. In the US, the Dow Jones Industrial gained just under 2 percent at the close of trading in Europe. The Nasdaq indices, which are predominantly composed of technology stocks, posted even more significant gains.
"Today, two short headlines were enough to put investors back in a buying mood. Trump wants to be 'nice' to China and not fire the Fed chairman," Stanzl stated. US President Donald Trump had signaled that he did not want to fight hard in the tariff dispute with China. On top of that, despite his attacks on Jerome Powell, he emphasized that he did not want to fire the Fed chairman.
Later in the day, the Wall Street Journal reported, citing people familiar with the matter, that the US government was considering a significant reduction in tariffs on Chinese goods. This gave the stock markets an additional boost in the afternoon. This briefly helped the DAX back above the 22,000-point mark, where the latest slump began in early April due to US tariff policy. The fact that the gains quickly slipped again was probably due to Scott Bessent's statement. The US Treasury Secretary emphasized that there would be no unilateral offer from Trump to reduce tariffs on Chinese products./ck/he
