FX.co ★ DAX Rises 1% on Trade Optimism, Deutsche Bank Leads Gains

On Thursday, Frankfurt's DAX 40 saw a 1% rise, reaching 24,470 points, buoyed by growing optimism surrounding trade developments. Reports indicate that the European Union and the United States are nearing an agreement to impose 15% tariffs on certain European imports while eliminating duties on others. Investors' attention was also directed toward the European Central Bank's policy decision expected later in the day, with widespread anticipation that interest rates will remain unchanged following a series of reductions. In corporate news, Deutsche Bank—the largest bank in Germany—surged by 6% after reporting second-quarter profits that exceeded expectations, marking a recovery from a loss during the same period last year. MTU Aero Engines experienced a 0.8% uptick after disclosing a 41% increase in second-quarter operating profit, surpassing analyst predictions. Economically, German consumer sentiment unexpectedly declined as August approached, while preliminary PMI data indicated slight growth in German business activity for July. However, the pace of growth was slightly slower than in June and fell short of expectations.