On Thursday, May 29, 2025, the DAX was unable to hold the important mark of 24,000 points despite positive impulses from the USA and an easing in the customs conflict, closing with slight gains just below it.
Context: Current Market Development
For the first time on May 20, the DAX surpassed the 24,000 point mark, reaching a new all-time high. This marked the 26th record high of the year. This rally came after a massive drop in prices on ‘Panic Monday’ in early April when US President Donald Trump announced new tariffs.
After another drop at the end of May due to impending US tariffs on EU products, a recovery rally took place when the postponement of the new duties until July was announced. Investors reacted with relief, leading to a short-term stabilization.
Despite very strong quarterly figures from the US chip manufacturer NVIDIA, a significant driver for technology stocks worldwide, the DAX could not mark a new record high.
Analysis: Why does the DAX fall below the mark?
On Friday before the weekend, the DAX was initially close to its recent record high, but then plummeted significantly after the announcement of the tariff threat. The subsequent recovery was not sufficient to stay permanently above the psychologically important threshold.
The technical support (21-day line) crucial for the short-term trend held, but a top formation was only narrowly averted. Despite positive news, the momentum remained limited; numerous investors took profits or awaited further signals.
Conclusion
Although positive external factors such as strong corporate figures from NVIDIA and an easing in the trade conflict were present, the DAX missed a new record high on Thursday and Friday, closing just below 24,000 points. This indicates a certain fatigue after a long rally phase as well as uncertainties regarding further geopolitical developments.
The current development reflects: Strength of the German stock market despite economic challenges, Sensitivity to global trade news, and Limited impact of individual company successes on the DAX.
The coming days will show whether momentum will increase again or if further corrections may be ahead.