The DAX has reached a new all-time high in recent days, settling at record levels. Following the interest rate decision by the European Central Bank (ECB), a new peak of 24,479.42 points was recorded in intraday trading, along with a closing price record of 24,323.58 points this past Thursday. This marks the 30th all-time high for the German index this year, which has risen nearly 23 percent since the beginning of the year.
Market Analysis: Is the Momentum Fading?
On Whit Monday, it is expected that the DAX will remain at its current record level and will hardly move from the spot. Pre-market, the index showed approximately 0.2 percent below the previous day’s closing at around 24,260 points about two hours before the trading start. The Wall Street reacted positively to the US jobs report on Friday; however, the day’s high was already reached during early trading—still within European trading hours—indicating that the impulses for further significant price gains are limited.
Cautious Trading
- Cautious Trading: The market is showing quiet to cautious behavior; trading volumes are low, and there are only a few new impulses from the USA or Asia.
- Limited Dynamics: The recent upward movements occurred under very thin trading conditions, suggesting that the continuation of the trend rests on “shaky foundations.”
- Missing New Catalysts: The current agenda is weakly populated; larger economic or political events are missing as drivers for further price increases.
- Technical Indicators: Some analysts point out that after the record high, certain technical indicators may raise alarms—such as overvaluations or a potential overheating of the market.
Conclusion for Investors
For investors, this means: The DAX remains strong and continues at record levels—driven by the ECB’s loose monetary policy and positive signals from overseas—but in the short term, the potential for further strong gains seems limited. A wait-and-see attitude prevails; larger movements are unlikely without new catalysts.
The development should continue to be closely monitored: Should a correction occur or new macroeconomic data come in surprisingly positive or negative, this could bring movement back to the market. Until then, the DAX remains stable at a high level with limited potential for further increases at the moment.