
The leading German index rose on Friday morning. Focus on final inflation data and ECB interest rate outlook.
AI-generated summary
According to preliminary figures, the inflation rate in the euro zone reached its highest level in three years at 3.8 percent.
Dusseldorf. At the end of the week, the Dax starts trading higher. The leading German index was up 0.8 percent at 25,595 points on Friday morning.
On Thursday it closed 0.3 percent higher at 25,382 points. The US stock exchanges ended trading inconsistently. While investors sold technology stocks, they bought into healthcare and consumer stocks that were considered defensive.
On Friday, investors will look to the euro zone's final inflation data for September. According to preliminary figures, the inflation rate reached 3.8 percent, its highest level in three years. In August it was still 3.2 percent. The European Central Bank (ECB) has already responded to the sharp rise in prices fueled by the oil price shock caused by the Iran war with two interest rate hikes this year.
The financial markets are expecting the ECB to raise interest rates again this year - possibly in December, after a break in interest rates at the meeting at the end of October.
The head of the US Federal Reserve (Fed), Kevin Warsh, is keeping a low profile ahead of the upcoming meeting at the end of October. He is not anticipating interest rate decisions, Warsh said on Friday at the annual meeting of the International Monetary Fund (IMF) and the World Bank in Bangkok.
AI outlook — possibilities, not facts
ECB is raising interest rates again this year
Likely · Within months

Despite a three-year crisis in the German personnel consulting market, six prominent headhunters continue to successfully place top executives and are increasingly using artificial intelligence.

Children born in 2020 and older receive ten euros a month from the state to invest in the capital market. Parents can choose between a private depository or the state-run early start pension fund.

The DAX rose at the start of trading despite AI concerns, supported by traditional sectors. In addition, the Italian UniCredit receives ECB approval to expand its stake in Commerzbank.

Inflation in the euro zone is rising to 3.8 percent, fueling speculation about further ECB interest rate hikes. At the same time, UniCredit is clearing a hurdle in its takeover of Commerzbank, and the mood in German housing construction is deteriorating.

Handelsblatt chief economist Bert Rürup and IW director Michael Hüther discuss the inheritance tax reform against the background of the current negotiations at the Federal Constitutional Court. Rürup calls for low tax rates with a broad assessment base and warns against a revival of the wealth tax if inequalities are ignored. Hüther defends the sparing of business assets, emphasizes the responsibility of heirs and sees no signs of the court changing course.

US Federal Reserve Chairman Kevin Warsh emphasized at the IMF meeting in Bangkok that the AI boom is driving structural growth in the US and globally, while he held off on further interest rate hikes from the Fed. He dismissed concerns about the viability of AI investments but acknowledged that inflation continues to deviate from the two percent target and interest rate hikes are likely necessary. The combination of high inflation and rising interest rates is putting pressure on Americans, increasing mortgage and national debt costs and is being discussed in the election campaign under the heading of 'affordability'.