Market report: DAX jumps to record high

The DAX rose by 0.7 percent in early trading and temporarily reached a new record high of 26,646 points. On Wednesday, the DAX had already risen by 2.2 percent to 26,437 points.

The joy over the results of the US midterm elections has not yet faded. The question now is what happens next. "Today's euphoria improves the short-term market picture. However, the geopolitical uncertainties and the risk of severe setbacks remain," says Salah-Eddine Bouhmidi from broker IG.

What could be the concrete consequences of the election results? An old stock market saying goes: Political stock markets have short legs.

It is largely unclear what impact the election result will have in concrete terms: "The changed political balance of power could make American budget policy more disciplined and thus defuse at least some of the concerns about escalating national debt and long-term high bond yields," comments Andreas Lipkow, market observer at CMC Markets.

The chances of a year-end rally for the DAX have now increased significantly. The election result sends the signal that US President Donald Trump's policies "cannot be enforced without limits," said Dekabank expert Joachim Schallmayer. Although dramatic changes in course are not to be expected, individual sectors could, in his opinion, be given new framework conditions.

The stock market receives support primarily from the raw materials markets. Oil prices are falling sharply. Many investors believe that a peaceful solution for the Middle East has now become more likely. If oil prices fall permanently, this would reduce inflationary pressure. This would also improve the profit prospects for many companies because production costs would become cheaper.

Current economic data should also help today. German industry received more orders in September, recovering somewhat from the slump in orders in the previous month. New business increased by 4.4 percent, as reported by the Federal Statistical Office (Destatis).

Commerzbank chief economist Jörg Krämer speaks of a positive surprise when looking at the current figures: "Even without the strongly fluctuating large orders, orders rose sharply in September. This increases the likelihood that orders will leave the sideways trend of the past year and a half and rise again."

Today, many companies are presenting their balance sheets again: Commerzbank, which is about to be taken over by the major Italian bank UniCredit, earned significantly more in the third quarter and confirmed its annual targets.

The operating result rose by 25 percent to 1.31 billion euros compared to the same period last year, and the net result climbed by around 45 percent to 859 million euros. However, both values ​​narrowly missed analysts' average expectations.

In the first nine months, the surplus also climbed by more than 40 percent to around 2.7 billion euros. This is the best result for this period in the company's history. For the year as a whole, the board is still aiming for a record profit of at least 3.4 billion euros.