For the first time in history, the Frankfurt stock exchange barometer exceeded the 24,000-point mark on Tuesday. Driven by, among other things, confidence in further signs of easing in the smouldering trade dispute between the USA and China, risk appetite clearly remains high, even if there could be temporary signs of overheating. Last but not least, developments in the Ukraine-Russia conflict may have provided a recent boost. The focus is now on the publication of new ifo data.
DAX
Source: TradingView
Relief over Ukraine-Russia conflict after phone call between Trump and Putin?
There may also have been relief in the Ukraine-Russia conflict. A few days ago, US President Trump spoke to Russian President Putin on the phone. After the conversation, Trump tried to raise hopes of a ceasefire in Ukraine in the near future.
Investors should also keep an eye on various speeches by monetary policy representatives. ECB member Lane, for example, is expected to address the public today (18:00). Thomas Barkin from the Fed's Richmond branch and Executive Board member Michelle Bowman will speak at 18:15.
Purchasing managers in Germany and the USA in focus on Thursday
Numerous purchasing managers for the manufacturing industry, the service sector and the overall sector are on the daily agenda on Thursday. The indices for the Federal Republic of Germany will be released at 09:30 and for the eurozone at 10:00. The S&P Global counterpart will follow at 15:45.
Ifo index likely to attract attention - further Fed speeches in focus
In the morning, attention is also likely to focus on the widely observed ifo business climate index (10:00 a.m.). Every month, the Munich-based ifo Institute surveys around 9,000 different managers on the development of the economy. In April, the economic barometer last stood at 86.9 points, compared to 86.7 points in March.
Last but not least, John Williams from the Fed's New York office is expected on Thursday (20:00).
German GDP figures round off Friday - investors likely to hope for monetary easing signals from Fed officials
On Friday, investors will first have to process new gross domestic product (GDP) data for the Federal Republic of Germany (09:00).
Other Fed members will be speaking later today with Jeffrey Schmid (Kansas) and Alberto Musalem (St. Louis/14:35) and member Lisa Cook (18:00).
