Market Development and Closing Figures
On Friday, May 2, 2025, the DAX showed an impressive performance, closing above the psychologically significant mark of 23,000 points for the first time since the end of March. The DAX reached an intraday high of +2.42% at 23,041 points and later closed even +2.62% higher at 23,086.65 points. In terms of weekly performance, the DAX recorded a gain of 3.8%, marking the eighth consecutive day of gains. The MDAX, the index of medium-sized companies, climbed between +1.72% (intraday) and +2.05% (closing at ~29,327 points).
Drivers of the Rally
- Trade Conflict Easing: Hopes for de-escalation in the US-China tariff dispute were fueled by positive indications from China, fostering optimism.
- US Labor Market Report: The positive report provided additional momentum to the markets and increased global risk appetite.
- Political Expectations: Speculation arises that the new German government could implement business-friendly measures in its first 100 days, similar to previous US economic policies.
Historical Context
Since the “Panic Monday” in early April, the DAX has gained over 4,000 points and is now trading higher than before the tariff announcements by the Trump administration. Only about 1.5–1.9% remains to reach the record high from March (23,476 points).
Significance for Investors
The technical closing of the downward gap signals a sustainable recovery. The combination of stable macroeconomic data and geopolitical progress highlights the short-term upside potential but remains vulnerable due to ongoing volatility from the trade conflict.
“The V-shaped recovery demonstrates the resilience of the market despite ongoing global tensions.”