DAX Gains Amidst Strong PMI Updates

(RTTNews) - Positive sentiment prevails in the German stock market, lifting the DAX benchmark that tracks the performance of the 40 largest companies listed on the Frankfurt Stock Exchange more than a quarter percent. Markets cheered the higher-than-expected levels of manufacturing and services PMI readings. Markets also digested the larger-than-expected decline in producer prices mainly driven by lower energy costs. Geopolitical tensions however limited the upside.

The DAX index has gained 0.32 percent to 25,098.89 from 25,017.98 at previous close. The day's trading ranged between a high of 25,143.28 and a low of 24,994.35. The index had touched an all-time high of 25,507.79 on January 13. At current levels, the index has gained almost 12.5 percent over the past year.

In the 40-scrip index, only 12 scrips are trading in the overnight red zone. Airbus topped with gains of 2.1 percent. Porsche Automobil Holding, Deutsche Bank, Heidelberg Materials, adidas, all gained more than 1 percent.

Bayer led losses with a decline of 2.9 percent. Infineon Technologies as well as Zalando declined more than 1 percent.

The dollar remains resilient amidst the escalation in tensions between the U.S. and Iran, lifting the six-currency Dollar Index to 97.95 from 97.93 on Thursday. The EUR/USD pair has slipped 0.06 percent to 1.1764 after ranging between 1.1776 and 1.1744. The EUR/GBP pair is trading 0.14 percent lower at 0.8730. Amidst the yen's weakness, the EUR/JPY pair has increased 0.13 percent to 182.74.

Amidst an easing in global bond yields attributed to geopolitical tensions and safe haven demand, ten-year German bond yields have declined 0.30 percent overnight to 2.7368 percent. The yield which was at 2.7450 percent at the previous close ranged between 2.7425 percent and 2.7319 percent in the day's trading.