The DAX got off to a friendly start in Frankfurt trading on Friday morning, up 0.3 percent on the previous day. Investors bought across the board, although the Federal Statistical Office had reported an unexpectedly sharp decline in economic output. The war in Ukraine remains a factor of uncertainty, but the stock market has become accustomed to it in recent months, according to a market analysis by Commerzbank.
Analysts expect companies to continue to revise their profit expectations downward due to the weaker economy and persistently high material and other input costs. With inflation rates remaining high, central banks are likely to raise interest rates further. Nevertheless, some companies such as materials manufacturer Covestro, Heidelbergcement, and the typical consumer stocks Adidas and Zalando were able to achieve gains of more than three percent. The latter are likely to benefit from the further brightening consumer climate, as GfK reported in the morning. The European single currency trended slightly weaker on Friday morning and one euro cost 1.0589 US dollars (-0.06 percent), while one dollar cost 0.9444 euros.