The DAX index, which monitors the performance of the 40 largest companies listed on the Frankfurt Stock Exchange, experienced a decline on Friday, largely due to economic data that fell short of expectations. Investor sentiment was dampened by concerns surrounding the unfavorable economic projections for both Germany and the broader European region.
The HCOB Flash Germany Manufacturing PMI, initially predicted to hold steady at 43, experienced a marginal increase to 43.2 in November. In contrast, the Services PMI anticipated to remain at 51.6 unexpectedly fell to 49.4. The Composite PMI registered at 47.3, deviating from market expectations of a steady 48.6. These figures indicate that all three sectors remain in a contraction phase. Consequently, the Euro Area's manufacturing, services, and composite PMI also faced unexpected declines.
Earlier in the day, final data for the third quarter revealed that the German economy grew by 0.1 percent quarter-on-quarter, contrary to the preliminary estimate of a 0.2 percent increase. However, this figure suggests a slight recovery from the 0.3 percent decline observed in the preceding period.
As of now, the DAX is trading 0.23 percent lower at 19,128.11, compared to the previous close of 19,173.15, with the day's trading spanning a high of 19,271.71 and a low of 19,037.77.
Within the 40-companies index, 19 stocks are trading in positive territory. Vonovia led with an overnight gain of 3.7 percent, while Sartorius and Zalando both advanced over 3 percent during the trading session. E.ON, Symrise, and RWE followed, each posting gains exceeding 2 percent.
Conversely, Deutsche Bank led the losses with a fall of 3.24 percent. Commerzbank dipped by 2.8 percent, and Airbus Group, Porsche Automobil Holding, BMW, and Daimler Truck Holding also registered declines exceeding 1 percent.
In the currency market, the EUR/USD pair has declined by 0.38 percent amidst the strengthening U.S. dollar. It is currently trading at 1.0433, having fluctuated between 1.0499 and 1.0333. Meanwhile, the EUR/GBP pair has edged up by 0.06 percent to 0.8325, and the EUR/JPY pair has decreased by 0.53 percent to 161.02. German bond yields have decreased by 2.5 percent overnight, reaching a four-week low of 2.2545 percent. Previously at 2.3130 percent, the yield varied between 2.3440 percent and 2.2335 percent during the day's trading session.
