On Wednesday, Germany's DAX index experienced a volatile trading session, ultimately closing slightly higher at 23,359. Investors exhibited caution as they awaited the highly anticipated policy decision from the Federal Reserve, scheduled for later that day. The US central bank is widely expected to trim interest rates by at least 25 basis points in its initial reduction for 2025. Market participants are particularly keen on Federal Reserve Chair Jerome Powell's comments to gauge prospects for further monetary easing.
In terms of economic data, the Eurozone's consumer price inflation for August 2025 was revised downward from a preliminary estimate of 2.1% to 2.0%, aligning it with the European Central Bank's target.
On the corporate front, SAP led market gains with a 3.2% increase, bolstered by Jefferies maintaining a "Buy" rating and a price target of EUR 290, citing robust cloud growth and a positive outlook for free cash flow. Other notable gainers included Continental (+1.9%), Adidas (+1.7%), Fresenius Medical Care (+1.7%), Bayer (+1.6%), and Infineon Technologies (+1.3%). Conversely, Commerzbank and Siemens Energy saw the largest declines, with their shares dropping 2.8% and 2.2%, respectively.
