German equities edged higher on Thursday as strong quarterly results from U.S. tech firms lifted sentiment, though caution ahead of the Federal Reserve's Jackson Hole symposium capped gains.
The DAX advanced 0.38% to 26,386 points by mid-afternoon, lagging its prior session high. The MDax, tracking mid-cap companies, gained 1.14% to 32,891 points, while the Euro Stoxx 50 slipped 0.1%. Analysts at Captrader noted that investors are likely to avoid significant risks until clearer signals emerge on U.S. monetary policy following Fed Chair Kevin Warsh's speech on Friday.
Semiconductor and software stocks led the advance after Nvidia, Salesforce and CrowdStrike reported better-than-expected quarterly earnings and guidance. Infineon surged 5.6%, Aixtron climbed 4.5% and Süss MicroTec jumped 7.5%. Siemens Energy rose 3%, benefiting from increased power demand from AI-driven data centers. SAP shares gained 2%, rebounding from Wednesday's weakness, while GFT Technologies surged 10.6% on a Deutsche Bank partnership announcement.
In the telecom sector, Kepler Cheuvreux upgraded United Internet and Ionos to 'Buy', citing second-half market trends and attractive opportunities. Both stocks rose 3%, while Deutsche Telekom was downgraded and lost 3%, pressured by a critical Handelsblatt report after a recent rally. Industrial services provider Bilfinger gained 4% after UBS upgraded it to 'Buy', citing improved margin expectations and a positive order intake.
Asta Energy, a recent SDax entrant, climbed 8.8% following strong half-year results and an upwardly revised outlook. The copper specialist cited robust demand from the energy sector for its performance improvement.
