On Friday, Frankfurt's DAX 40 index declined by 0.8%, settling near the 24,100 mark. This movement reflects ongoing investor reactions to several significant factors, including the European Central Bank’s recent policy announcement. Additionally, market participants are closely monitoring trade discussions and assessing a series of corporate earnings reports. Recent developments suggest that the likelihood of further ECB rate cuts this year has diminished. This shift follows the central bank's decision to keep interest rates steady for the first time in a year, signaling a cautious stance in the face of persistent trade uncertainties and inflation rates aligning with its 2% target.
On the corporate front, Puma experienced a significant setback, with shares plunging over 18% after the company released a lackluster second-quarter earnings report. Consequently, Puma has retracted its forecast for currency-adjusted sales growth and is now projecting a loss in reported EBIT. Meanwhile, Volkswagen's shares fell by more than 2%, a decline fueled by a sharp decrease in second-quarter profits, particularly within its high-end Porsche and Audi divisions. On a steadier note, Deutsche Börse showed little movement as investors took in a slight increase in its Q2 net profit.
