The German DAX index stabilized above the 26,000-point mark on Friday, halting a four-day losing streak with a 0.26% gain to 26,050 points by early afternoon. The recovery followed a period of volatility that saw the index briefly dip below the psychologically significant level earlier in the session.
On a weekly basis, the index remained on track for a 1.5% decline, weighed down by rising bond yields that have pressured risk assets. Despite the recent losses, the DAX held above its 21-day moving average, a technical level that suggests the near-term trend remains intact.
The MDax, tracking mid-cap stocks, outperformed with a 0.91% rise to 32,003 points, while the Euro Stoxx 50 edged up 0.3%. Support came from a rebound in U.S. equities after Thursday’s losses, though Asian markets provided mixed signals. The Nikkei 225 and South Korea’s Kospi diverged, reflecting uneven performance in technology-heavy indices.
Analysts noted the subdued trading volumes during the DAX’s decline, with Thomas Altmann of QC Partners highlighting that the latest four-day losing streak was the first since April. "However, yesterday’s trading volume was the second-lowest of the year, indicating limited profit-taking," he said.
Corporate earnings updates also influenced sentiment. Fielmann’s shares tumbled 6.3% to a 2023 low of €37.95 after the optics retailer trimmed its full-year outlook, citing cautious business expectations. The company had already revised its half-year targets downward in July, projecting revenue and adjusted EBITDA at the lower end of prior guidance ranges. Consensus estimates had previously exceeded those targets, and Fielmann’s forecast for accelerated second-half growth failed to reassure investors.
CTS Eventim reported a 10% year-over-year increase in second-quarter revenue and adjusted EBITDA, though growth moderated from the start of the year. Margins disappointed, and the stock fell as much as 9.5% despite the company reaffirming its full-year guidance. Shares later pared losses to 1%.
Fresenius’ decision to reduce its stake in dialysis provider FMC weighed on the latter’s shares, which dropped 1.3% after the German healthcare group sold 7.8 million FMC shares worth approximately €300 million to institutional investors. The transaction represented 2.9% of FMC’s share capital. Fresenius’ own shares remained stable amid broader sector weakness.
Commodity-linked stocks rebounded on signs of potential stimulus from China. Thyssenkrupp surged 4.4% to €13.22, while Salzgitter gained 6.6%, as reports suggested Beijing may expand financial support to bolster an economy showing signs of slowing in July. Citigroup upgraded Thyssenkrupp’s price target to €20, maintaining a buy rating.
