Stable performance for DAX, slides for Bitcoin: Companies like VW, Deutsche Börse, Puma, Deutsche Bank, Rheinmetall, Infineon under the microscope due to changes in the cryptocurrency market.
The German stock market, DAX, is expected to open the week with gains on Monday, July 28, 2025. This optimistic outlook is attributed to the recently announced EU-US trade deal, where the EU has agreed to pay 15% tariffs on most exports to the US. This agreement could potentially lower the cost of goods for European companies, boosting profits (Sources: 3, 4).
However, the exact impact will depend on companies' exposure to the US market. Key company earnings reports to watch for today include those from Nordex and Audi, which will provide insight into the resilience of the sector amid the new tariff framework (Source: 4).
In addition, a two-day meeting between US and Chinese finance ministers in Stockholm is expected to influence global financial markets. The discussions will focus on trade and economic matters (Source: 4).
The broader context for the DAX involves market focus on ECB interest rate decisions and PMI data, which have recently helped the index hold above key exponential moving averages (EMAs) (Source: 2).
Several companies are scheduled to report quarterly results today, including Volkswagen, Signify, and LG Electronics. Yesterday evening, Deutsche Boerse, Puma, Traton, and Intel released their earnings reports.
The DAX is forecasted to open a few points lower at 24,291 points on Friday, following a 0.2% increase on Thursday to close at 24,295.93 points (Sources: 1, 3). Notable gainers in the DAX yesterday include Deutsche Bank, Deutsche Telekom, Siemens Healthineers, Commerzbank, and Bayer. On the other hand, MTU Aero Engines, Infineon, Rheinmetall, RWE, and SAP were among the losers (Source: 3).
Elsewhere, the tech-heavy Nasdaq 100 rose 0.3% to 23,219.87 points on Thursday, while the S&P 500 gained 0.1% to 6,363.35 points. Major Asian markets are down on Friday morning, with the Hang Seng index in Hong Kong's special administrative region down 0.9%, the Japanese Nikkei 225 index falling 0.9%, and the CSI 300, which tracks the most important Chinese mainland stocks, down 0.6% (Sources: 5, 6).
In commodity markets, silver is at $38.98 per ounce on Friday morning, while gold is at $3,360 per ounce. Bitcoin is trading at $115,661 on Friday morning (Sources: 7, 8).
The ongoing trade conflict remains a dominant theme, with the Hang Seng index in Hong Kong's special administrative region and the Japanese Nikkei 225 index both reflecting the uncertainty. The CSI 300, however, is down only 0.6%, indicating some resilience in the Chinese market (Sources: 5, 6).
In conclusion, the DAX is expected to open the week with gains, driven by the EU-US trade deal and the ongoing company earnings reports. The broader context, including ECB interest rate decisions and PMI data, will continue to influence trading dynamics.
Investors in the European business sector, including those focused on the DAX, should closely monitor industry earnings reports from companies like Nordex, Audi, Volkswagen, Signify, and LG Electronics, as these will provide insights into the resilience of the sector amid the new tariff framework. The upcoming US-China finance ministers meeting could also impact global financial markets and business investments.
