DAX closing in on 12,000 despite dour Draghi

The DAX index has gained ground on Thursday, continuing the upward trend seen on Wednesday. Currently, the DAX is at 11,947, up 0.36% on the day. In economic news, German Final CPI remained steady, with a gain of 0.4%. This matched the forecast. On Friday, the eurozone releases industrial production.

There were no surprises for investors from the ECB policy meeting. The bank held the minimum bid rate at 0.00%, where it has been pegged since 2016. Investors were more interested in Mario Draghi’s comments after the rate decision. Draghi acknowledged that eurozone economic data remains weak, particularly in the manufacturing sector. The economic outlook remains weak, with Draghi saying that “slower growth momentum is expected to extend into the current year”. At the same time, Draghi said that the likelihood of a recession remains low. On the inflation front, Draghi stated that interest rates will remain at current levels at least until the end of 2019 and possibly later.

European update – Mixed trading continues

Economic Calendar

Thursday (April 11)

  • 2:00 German Final CPI. Estimate 0.4%. Actual 0.4%

Friday (April 12)

  • 5:00 Eurozone Industrial Production. Estimate -0.5%

*All release times are DST

*Key events are in bold

DAX, Thursday, April 11 at 7:25 EST

Previous Close: 11,905 Open: 11,905 Low: 11,846 High: 11,964 Close: 11,947

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Kenny Fisher

Kenny Fisher

Currency Analyst at Market Pulse
Kenny Fisher joined OANDA in 2012 as a Currency Analyst. Kenny writes a daily column about current economic and political developments affecting the major currency pairs, with a focus on fundamental analysis. Kenny began his career in forex at Bendix Foreign Exchange in Toronto, where he worked as a Corporate Account Manager for over seven years.