The German stock market started an eventful week with gains. In the morning, the Dax climbed to its highest level in around three weeks and closed with an increase of 0.93 percent at 16,097.87 points. The MDax of medium-sized companies increased by 0.56 percent to 27,305.83 points on Monday.
The closely watched US consumer prices are due for release on Tuesday. The interest rate decisions by the US Federal Reserve and the European Central Bank (ECB) on Wednesday and Thursday should provide further impetus. The majority of investors expect the Fed to take a pause in interest rates for the time being.
The EuroStoxx 50, the leading index in the euro zone, ended 0.6 percent higher at 4316.49 points. France’s Cac 40 rose 0.5 percent and Britain’s FTSE 100 gained 0.1 percent. In New York, the Dow Jones Industrial was up 0.1 percent at the European close.
On the company side, the shares of Adidas and Rheinmetall were in particularly strong form in the Dax. Upgraded to “Outperform” by the analysis firm Bernstein, the shares of the sporting goods group Adidas gained 5.5 percent at the top of the leading index.
Rheinmetall rose in second place by 3.6 percent and benefited from the confident statements by CEO Armin Papperger about the price potential. The manager called a medium-term valuation of the armaments group and car supplier of 17 billion euros realistic. Rheinmetall is currently valued at around 11 billion on the stock exchange.
Volkswagen shares rose by 2.6 percent. Dealers referred to a “Handelsblatt” article with details about a corporate restructuring.
Analysts’ comments and a satirical television program provided impetus for various stocks below the Dax. With a plus of 5.2 percent, Hensoldt was among the leaders in the MDax. Kepler Cheuvreux analyst Aymeric Poulain recommended buying the defense electronics manufacturer’s shares.
ProSiebenSat.1 gained 5.4 percent as the favorite in the index of medium-sized stocks. Analyst Jerome Bodin from the investment bank Oddo BHF believes that the media group’s advertising revenue should recover in the second half of the year. He also sees significant value potential if there is a merger with Sky Germany. As a result, Bodin upgraded the media company’s stock to “Outperform.”
For the papers from CTS Eventim, on the other hand, it went down by 8.9 percent at the end of the MDax. On Friday evening, TV satirist Jan Böhmermann took a critical look at the market position and fee policy of the event marketer and ticket dealer in his program “ZDF Magazin Royale”.
The euro was last traded at $1.0749. The ECB had set the reference rate at $1.0765 in the afternoon. On the bond market, the current yield fell from 2.46 percent on Friday to 2.43 percent. The Rex pension index rose by 0.06 percent to 125.48 points. The Bund future rose by 0.01 percent to 134.13 points.
