DAX Index Daily Price Forecast – DAX To Open Positive Supported by Multiple Hawkish Factors
Germany equities were higher at the close on Tuesday, as gains in the Technology, Food & Beverages and Software sectors propelled shares higher. At the close in Frankfurt, the DAX rose 1.40%, while the MDAX index climbed 2.92%, and the TecDAX index climbed 3.48%. Advancing stocks outnumbered falling ones by 562 to 160 and 57 ended unchanged on the Frankfurt Stock Exchange. The DAX volatility index, which measures the implied volatility of DAX options, was down 4.71% to 19.01. European shares rebounded from a 22-month low on Tuesday as optimism fueled by the start of the reporting season lifted investor sentiment. In Europe, about 6 percent of STOXX 600 companies are due to report results this week, with the earnings season passing its mid-point during the first week of November.
German Market Likely To Follow Asian Counterparts in Moving Along with Wall Street Rebound
Overall, third-quarter earnings for the index are expected to have risen 14% and since the week is expected to see Q3 results of multiple companies we can expect positive investor sentiment to be prevalent in local market across the week. Asian equities got some welcome relief on Wednesday after upbeat U.S. earnings reports drove a rebound on Wall Street and helped restore a little faith in emerging market stocks and currencies. Analysts are looking at this reporting season in particular and the general data over the next couple of months for signs that the receding tailwinds of fiscal stimulus and the headwinds of tariffs are going to hit the global market simultaneously.
DAX Futures trading in international market is moving positive ahead of Frankfurt market opening and is currently trading with 0.44% increase in value supporting a strong possibility for positive stock market price action today. Since market will see some of key players from STOXX 600 release Q3 statement volatility is expected to remain high across the day and positive cues from overseas markets will also add to positive investors sentiment and all said factors could help DAX index open positive and remain in green across the day.
This article was originally posted on FX Empire
