DAX stays close to record territory
The DAX remains magnetically drawn towards its record high of just under 26,450 points, preventing any significant wave of profit-taking.
Investors in Frankfurt continue to bet on an extension of the rally that began unexpectedly at the start of the month. Uncertainty surrounding the Iran conflict and the Strait of Hormuz continues to have remarkably little impact on Germany's benchmark index.
AI momentum supports Asian markets
Asian markets provided a broadly supportive backdrop for technology stocks overnight. While the Tokyo Stock Exchange remained closed for a public holiday, indices in South Korea and China posted modest gains.
The ongoing AI boom continues to fuel investor enthusiasm and support semiconductor stocks.
Recovery hopes cushion European equities
In Europe, hopes of a sustainable economic recovery are increasingly underpinning equity markets at current levels.
The combination of continued demand for technology stocks and renewed interest in old-economy sectors has created a solid foundation for the recent upward trend. Rising oil prices are still being viewed as a temporary phenomenon and have so far had only a limited impact on sentiment. Brent crude remains just below $90 per barrel amid difficult negotiations between the United States and Iran.
US inflation data moves into focus
Attention is therefore turning to tomorrow's US consumer price data. The key question is when higher energy prices will begin to feed more noticeably into inflation.
