The German stock market has crossed the 24,000 points mark with the DAX by the end of a strong week, signaling a positive market environment. On Friday, June 27, 2025, the DAX closed up 1.62 percent at 24,033.22 points – the highest level in over two weeks. The week brought a total increase of nearly three percent for the leading index.
Background and Drivers of Development
- Trade Agreement between the EU and the USA: A significant factor for the positive sentiment was the prospect of an upcoming trade agreement between the European Union and the USA. According to media reports, EU Commission President Ursula von der Leyen was optimistic that an agreement could be reached before the deadline on July 9 – otherwise, new US tariffs on almost all EU products, along with countermeasures from Brussels, are looming.
- Automobile Stocks in Focus: Automobile shares especially benefited from the improved tariff outlook.
- Technical Signals: The DAX is in an upward trend after breaking through the significant mark of 23,750 points and continues to signal bullish momentum with prices above the important moving averages (50-day EMA and 200-day EMA).
- Other Indices: Other German indices like MDax (+0.85%) and SDax (+1.64%) also recorded significant gains; the latter is only about 20 points below its all-time high.
Importance for Private Investors
For private investors, crossing the psychologically important mark of 24,000 points is significant:
- Market Sentiment: A rising DAX reflects general confidence in economic development.
- Investment Opportunities: Positive impulses can motivate further investments or strengthen existing portfolios.
- Risk Monitoring: Despite the positive trend, volatility remains due to geopolitical developments, trade talks, or monetary policy decisions.
Technical Perspective
- Support Levels: In the event of pullbacks, areas around 23,900 down to about 23,600 provide support.
- Resistance Levels: Above the current level, resistances lie around 24,200 up to the all-time high of about 24,479 points (from June).
- Indicators like RSI: With a value around the mid/upper range, there is still upside potential before overbought territory is reached.
The DAX’s crossing of the 24,000 points mark represents a success for the German stock market after a strong trading week – driven by positive news from trade policy as well as technically solid signals in the chart picture. For private investors, this means an overall optimistic sentiment with still significant opportunities but also risks from external factors such as international conflicts or central bank decisions. This development is particularly relevant for small investors: it not only reflects the current confidence in markets but also provides guidance for their own investment decisions regarding diversification and risk management within a portfolio of German blue-chip stocks as well as mid-sized companies (MDax) or small caps (SDax).