Amid concerns about interest rates and inflation, the DAX got off to a weak start in October. Shortly after the stock market opened, the leading German index fell by 0.6 percent to 25,060 points, and shortly afterwards the round mark of 25,000 points even fell.
The day before, the DAX had ended September with a total loss of four percent and had also fallen below the 100-day line, which is important for the medium to long-term trend. This had given him support over the past few days. There is now a threat of a new low since the end of July.
According to market observer Jochen Stanzl from Consorsbank, bond yields remain the most important pacesetter for the German stock market. “With every new wave of selling on the bond market, the pressure on the DAX grows, which threatens to fall out of its trading range,” the expert wrote.
The sharp rise in yields on the US bond markets and the associated speculation that the US Federal Reserve (Fed) will soon raise interest rates further have also recently given the dollar a boost. This puts the euro under pressure.
In the morning, the common currency was trading at $1.1319, which was even lower than the previous evening. After a price slide of around three cents since the end of August, the euro exchange rate is now at its lowest level since May 2025.
Economic data could provide new impetus today: the ISM index for manufacturing, an important sentiment indicator, will be published in the USA. Particular attention is paid to employment, explained the experts at Landesbank Helaba in their morning commentary. Together with the initial jobless claims, which will also be published today, it provides an indication for the US labor market report on Friday.
Meanwhile, there is positive news from the oil market: recovering crude oil exports from the Gulf region and a surprising increase in US inventories have somewhat eased supply fears on the oil market. The prices for the North Sea variety Brent and the US oil WTI fell by a good one and a half percent in the morning to 96.55 and 88.79 dollars per barrel respectively. In September, Brent rose by around 14 percent and WTI by more than five percent.
"A renewed diplomatic rapprochement between the US and Iran could further reduce the geopolitical risk premium, but a breakthrough remains uncertain," said Sugandha Sachdeva of SS WealthStreet, a New Delhi-based financial research firm.
Investors are hoping that the USA and Iran will resume negotiations to end the war that has been going on for seven months. US President Donald Trump recently denied that he had offered to ease sanctions and release frozen funds in return for nuclear concessions from Tehran.
The mood in the electrical industry here is obviously great. The ifo business climate for the industry rose again in September - by 8.3 points to 24.8, according to the Munich ifo Institute. This is the best value in years. In particular, the current business situation is better assessed.
“The electrical industry is increasingly developing into an economic driver within German industry,” said ifo expert Klaus Wohlrabe. "While many industrial sectors are still struggling with weak demand, business here is already doing much better."
Among the individual values, chip values are coming into focus today: an optimistic outlook from the US manufacturer Micron is pushing chip values forward. In the DAX, Infineon's shares are at the top with an increase of 1.9 percent in early Frankfurt trading. In the MDAX, Aixtron shares gained 2.1 percent, Suss Microtec gained 1.9 percent in the SDAX.
Continued high demand for memory chips helped Micron achieve another record quarter. The company increased its sales fivefold in the past three months to $54.23 billion. Adjusted earnings increased elevenfold to $33.42 per share. All of these key figures were well above market expectations. “We expect even better results for the 2026/2027 financial year,” said Sanjay Mehrotra, the head of the semiconductor manufacturer.
“These excellent business figures and forecasts should finally take the wind out of the sails of all doubters about the sustainability of AI expansion,” said Bob O’Donnell, chief analyst at research house TECHnalysis.
