The DAX Index Opens 0.18% Higher

The DAX 40 edged up 0.3% to around 26,070 on Friday after a slow start, extending modest gains for a second session. The automotive sector provided the main support, led by a 7% surge in Volkswagen shares following the board’s approval of its biggest restructuring plan in 89 years. The plan includes 50,000 job cuts and alternatives for four German plants, while also reducing the supervisory board’s influence on key decisions, where unions and Lower Saxony hold a majority. BMW and Volkswagen rose 1.7% and 1.1%, respectively. Other notable performers included Heidelberg Materials (2.3%), Infineon Technologies (1.5%) and Airbus (1.2%). Meanwhile, market participants continued to assess the outlook for the monetary policy, with the ECB expected to deliver a 25 bps rate hike next week. Developments in the Middle East also remained in focus. The index was set to decline about 1.9% this week.

The DAX Index is picking up 48 points or 0.18 percent on Friday. Gains are led by Volkswagen (5.53%), Porsche Automobil (3.46%) and Infineon (1.71%). Biggest losers are Daimler Truck Holding AG (-1.16%), BASF (-0.92%) and Commerzbank (-0.87%).

The DAX 40 finished about 0.6% up at 26,003 on Thursday, halting a three-day losing streak, mainly supported by gains in autos, software and financials. Falling global bond yields supported market sentiment, while ongoing geopolitical uncertainty kept oil prices elevated. Among key movers, Volkswagen climbed 3.3% to the top of the index following media reports that the automaker could sell or reduce stakes in around 750 subsidiaries and investments. SAP shares rose 2.5%, benefiting from Snowflake’s stronger revenue outlook. Deutche Telekom added 1.1%, following reports that Elliott investment built up a larger stake in an attempt to prevent a multi-billion dollar merger with T-Mobile US. Other top performers included Hochtief (3.3%), Vonovia (2.6%), Commerzbank (2.3%) and Siemens Energy (2.2%). On the flip side, Rheinmetall (-2%), Fresenius Medical Care (-1.9%) and Qiagen NV (-1.8%) posted the biggest declines.