Germany’s stock market posted a fresh record high. The German’s DAX rose above 11,000 for the first time ever from 10,981.32. The main driver of the stock market growth was a strong report from the federal statistical office Destatis showing that Europe’s largest economy accelerated.
The German gross domestic product expanded by 0.7% in the 4th quarter from the preceding quarter. The data had a positive impact on the country and the whole region. Meanwhile, Germany's calendar-adjusted GDP advanced by 1.4% on a yearly basis, thus topping analysts’ expectations of a 1% increase. Markets are now on the lookout for flash estimates to be confirmed.
The DAX was not the only index that climbed on the news. Experts also saw a jump in Germany’s economic sentiment. The ZEW index rose to 48.4 points in January, up from 34.9 the month before. It was the highest level since February 2014. Analysts had expected a rise only to 40 points. The European Central Bank’s pledge for quantitative easing has also underpinned an advance in stocks. Interestingly, it was Germany that was its fiercest opponent.
