05.05.202516:05:38UTC+00DAX Rally Continues

Frankfurt's DAX climbed approximately 1.1% to close at 23,335 on Monday, marking its highest level since March 18 and extending its winning streak to nine consecutive days. This upward trend was largely fueled by gains in defense stocks, with Rheinmetall rising by 3.1% and Renk increasing by 4.1%, driven by expectations of increased defense spending under Germany’s soon-to-be-installed government. The conservative coalition has concluded its negotiations today, paving the way for the announcement of ministerial appointments, and CDU leader Friedrich Merz is poised to assume the chancellorship tomorrow. The coalition's agenda includes plans to stimulate economic growth, escalate defense expenditures, tighten immigration controls, and update the nation's infrastructure. Additionally, market participants remained attentive to corporate earnings reports and awaited pivotal monetary policy decisions from the U.S. Federal Reserve and the Bank of England slated for this week. Notable companies such as Rheinmetall, Continental, Hugo Boss, BMW, Puma, Heidelberg Materials, Commerzbank, Zalando, and Siemens Energy are scheduled to release their quarterly earnings in the coming days.