FX.co ★ DAX Falls for 2nd Day

The DAX dipped by 0.8% to 23,925 on Thursday, continuing its downward trend from the previous trading session and reflecting a wider decline in European markets. Investors are increasingly concerned about the sustainability of the US fiscal outlook, which weighed heavily on market sentiment. Uncertainty intensified due to the ongoing negotiations regarding President Trump's proposed tax bill, which is projected to increase the US budget deficit by approximately $3 billion over the next decade. Concurrently, preliminary PMI data offered a mixed view of the Eurozone and Germany's economic landscape. In the private sector, activity unexpectedly contracted, driven by a more pronounced decline in the services sector, while the downturn in manufacturing showed signs of slowing. Positively, business confidence in Germany picked up in May, with the expectations component boosting sentiment. Among the major corporate performances, Porsche AG was notably weak, dropping approximately 5%, while Puma decreased by 1.9% and Vonovia by 1.6%.