FRANKFURT (dpa-AFX) - A smaller-than-expected rise in US consumer prices gave the German stock market only a brief boost on Wednesday afternoon. Ultimately, the DAX fell back below the 24,000 mark by 0.16 percent to 23,948.90 points, after having gained up to 0.7 percent at one point. The German benchmark index had fallen over the previous three trading days, moving slightly away from last week's record high. The MDax index of medium-sized companies gained 0.27 percent to 30,631.70 points in mid-week trading.
US consumer prices, adjusted for energy and food, rose less sharply in May than analysts had expected on average. This allowed investors to once again bet more strongly on interest rate cuts by the US Federal Reserve, which should tend to benefit the stock markets.
Investors were cautious following statements by US President Donald Trump on the US-China trade talks, according to which both sides had agreed to reduce export restrictions on rare earths.
"Trump initially said that the deal with China 'is done', but then emphasised that final approval still had to be given by him and the Chinese president. He also wrote that China would receive 10 percent of the tariffs and the US 55 percent. There has been no confirmation of this, and confusion on the trading floor is complete," commented analyst Jochen Stanzl of CMC Markets./edh/jha/
