The DAX Index Closes 0.53% Higher

The DAX Index went up by 141 points or 0.53 percent on Friday to close at 26440 points. The rise was led by Scout24 (3.98%), Rheinmetall (2.86%) and SAP (2.75%). On the downside, the weakerst performers were E.ON (-4.38%), Merck (-2.92%) and Vonovia (-1.71%).

The DAX rose 0.5% to 26,432 on Friday, reaching a fresh record high as gains across several sectors outweighed losses in utilities and chipmakers. Rheinmetall rose 3.2% amid broader strength in the defense sector as geopolitical tensions remained elevated, while MTU Aero Engines and Airbus gained more than 1.3%. Brenntag advanced 1.3% after Goldman Sachs reiterated its “Buy” rating and the company reported a 41% jump in EBITDA. SAP gained 3% amid speculation over a potential takeover of US software firm Workday. Financials also advanced as markets scaled back expectations of a Fed rate hike, with Hannover Re, Munich Re and Allianz rising more than 1%. Meanwhile, E.ON fell 4.4%, its lowest level since January, following disappointing draft gas regulations, while RWE and Siemens Energy also declined. Chip stocks fell on profit-taking ahead of Unitree’s IPO, with Infineon down 1.2%.

The DAX 40 rose 0.7% to surpass 26,480 on Friday, setting fresh record highs and outperforming its European peers. Solid corporate earnings and easing interest rate worries kept market sentiment supported, despite ongoing uncertainty in the Middle East. Efforts to resolve the US-Iran conflict remained stalled amid continued attacks in the region, with Washington also threatening unprecedented economic measures against Tehran next week. Among individual stocks, heavyweight SAP climbed 4.8%, making it the top performer, buoyed by speculation about a multi-billion-dollar deal in the software industry. Other notable gainers included Rheinmetall (4.1%), Scout24 (3.3%), Hannover Ruck (1.9%) and MTU Aero Engines (1.7%). On the downside, E.ON (-3%), Hochtief (-2%), RWE (-1.9%), Deutsche Post (-1.5%) and Infineon Technologies (-0.8%) posted the biggest declines. For the week, the index was set to rise about 0.6%.