The DAX, the German stock index, has risen again above the 24,000-point mark on Tuesday, after suffering slight losses at the beginning of June. This positive market movement is particularly interesting for investors as it indicates a certain stability and optimism in the markets.
Background and Causes
Historical Highs
The DAX had already reached a new record high on May 20, 2025, when it climbed to 24,082.48 points during intraday trading. These highs contrast with the economic challenges in Germany, suggesting that the internationally oriented companies in the DAX are benefiting from global demand.
International Factors
The expectation of high-level trade talks between the USA and China has positively impacted the DAX. These talks could ease the strained trade relations between the two countries, thereby reducing uncertainties in the markets.
Technical Analysis
The DAX has had difficulties in the past maintaining a constant position above the 24,000-point mark. Technical analysts view the 20-day average as an important support line that underpins the index at around 23,786 points. A break below this mark could lead to further losses.
Outlook and Significance for Investors
- Market Sentiment: The DAX’s ability to rise above the 24,000-point mark indicates a positive market sentiment driven by expectations for future trade talks and hopes for de-escalation of geopolitical tensions.
- Investment Strategies: Investors who are risk-seeking may benefit from the so-called “Trump Pattern”, where market movements often react to announcements and actions by US President Donald Trump. This pattern has proven successful in the past, as speculative investors often hope for a reversal of Trump’s measures.
Overall, the DAX remains an important indicator of the global economic situation and investor sentiment. Its ability to remain above the 24,000-point mark could signal a sustained rally, but it depends on many external factors.