html
The Trading Week Smiles: DAX Hits New High
The DAX, Europe’s flagship index, kicked off the week by chipping in more than 3 % and carving out a fresh record. It crossed the 22,300‑point threshold on Monday, giving Frankfurt investors a reason to grin ear‑to‑ear.
Market Mood: Optimism in the Air
What’s driving this bullish burst? The answer is simple: investors are buzzing about an upcoming defense and infrastructure plan that could be worth almost €1 trillion. German firms in these sectors are already riding double‑digit rags, and the momentum is flowing straight into the DAX.
Geopolitical Sideshow
- UK’s Keir Starmer announces a Ukraine peace plan—a hopeful note amid a tense catch‑up between former U.S. President Donald Trump and Ukrainian leader Volodymyr Zelensky.
- Europe’s big powers are keeping a tight rein on market stability to dodge trading drama, especially with Washington in the mix.
- But sneakily, the threat of new U.S. tariffs still looms large, adding a pinch of uncertainty to the mix.
Inflation Check‑In
The eurozone’s February wind‑shinniness ticked up at 2.4 %, a smidge above the 2.3 % forecast. While energy and services calmed a bit, the climb in unprocessed food (3.1 %) and non‑energy goods (0.6 %) hints that price swings aren’t finished dancing.
Core inflation slipped to 2.6 %, the lowest reading since January 2022, but still hanging above expectations.
Why It Matters – A Quick Take
- Defense & infrastructure spend is the turbo‑charger behind European greens.
- Co‑ordination between EU leaders and the U.S. will be the key to keeping momentum flowing and sidestepping trade friction.
- In this cozy economic landscape, the spotlight stays on balancing ambitious defense budgets, the Ukraine peace slide, and the jagged edges of U.S. trade policy.
Keep your eyes peeled for fresh updates—subscribe now and never miss a beat.
