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DAX gains ahead of US CPI report
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DE30 breaks out above 15,100 points
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Porsche interested in cooperation with Google
Thursday's trading session in markets from the Old Continent brings an acceleration of the bullish momentum sustained for days. Now investors are eagerly awaiting the US CPI inflation reading, which will be published at 1:30 p.m GMT. Germany's DAX is posting strong gains today and has broken out above the 15,100-point barrier.
What kind of reaction to expect from today's data? If inflation actually slows down, it will be a positive signal for the stock market and a negative for the dollar. Therefore, any reading of the headline CPI below 6.5% should support gains on the EURUSD and a further rally in stock indexes. On the other hand, if the index falls in the 6.5%-7.0% range, there could be a realization of recent gains in equities and a turnaround in the major currency pair. What no one is assuming is a CPI increase above 7%. Although this is not a likely scenario yes, if it were to happen, certainly both EURUSD and the indexes would plummet.
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Open account Try demo Download mobile app Download mobile appInvestor sentiment on the Old Continent is positive. Most of the companies are currently recording increases. Source: xStation 5
News from companies and bank recommendations:
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According to media reports, the Porsche company (P911.DE) wants to establish close cooperation with Google in the area of infotainment system and integration with the US giant's solutions. This involves in particular the Google Maps navigation system.
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Südzucker (SZU.DE) reported a significant increase in revenue and earnings in its fiscal third quarter. The company's revenues for the period totaled €2.5 billion, up more than 20%. Operating profit increased by 74% and amounted to €220 million. Such good results are mainly due to the sugar sector, which compensated for losses from the fruit sector. Despite the good results, the company's shares are currently losing nearly 4.5%.
DE30 chart:
DE30 futures are extending a giant wave of growth. Traders are now waiting for today's US CPI inflation report, which could determine the next movements on the DAX index. Source: xStation 5
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