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The DAX started the trading day up 0.39% to 13,587.29 points. However, the release of US inflation data in the afternoon only dampened investor risk appetite for a short time. At close of trading, the stock market barometer gained 2.17 percent to 13,828.64 points.
The DAX was only briefly skewed by US inflation data on Wednesday afternoon. After the major German index quickly gave up on its significant price gains after the data and briefly turned negative, it quickly recovered and even hit daily highs.
US inflation data provides movement
US inflation data temporarily slowed the DAX’s recovery significantly on Wednesday. Inflation in the US was higher than expected at 8.3 percent and this again gave investors food for thought.
April inflation data continues to reflect high inflationary pressures. In a first comment, Helaba pointed out that the previous month’s rise was sharper and that the inflation peak could have been surpassed. “However, with an annual inflation rate above 8%, there is still no talk of easing,” said Landesbank expert Ulrich Wortberg.
There had previously been encouraging signs from China, which broker ActivTrades analyst Pierre Veyret identified as support ahead of inflation data. A declining number of corona infections gives hope that the restrictions that are weakening growth in the Middle Kingdom will be eased. Due to China’s position as a particularly important export nation, the blockades are currently causing a lot of uncertainty around the world. Financeen.net / dpa-AFX editorial staff
Image sources: Julian Mezger for Finanz Verlag