The DAX Index remained in a tight range in the past few weeks s most of its constituent companies published stronger-than-expected financial results. The DAX Index was at EUR24.360, just a few points off the high for this year of EUR24.635. The top gainers of the year are discussed in this article.
The DAX Index: Key drivers for this year
This year, the German DAX was impacted by several major catalysts. Market participants first reacted on the recent announcement of a deal between US and EU.
The deal involves European companies paying a tariff of 15% to the US. This will impact some of their largest constituent companies. Porsche, which belongs to the Volkswagen Group and counts the US market as its most important, will be most affected.
Recent results revealed that the European and Chinese business slowed down, but its US business continued to grow. Porsche manufactures its cars in the United States.
The DAX Index has also reacted in a similar way to the European Central Bank’s (ECB) actions. The bank, unlike the Federal Reserve has delivered multiple interest rate reductions this year. Its official cash rate is now 2%.
Theoretically, falling ECB rates should result in lower bond yields and attract investors towards equities. Recent German bond sales have been continuing, but the 10-year has risen to 2.78 percent, which is its highest level since March 24, this year.
After the Parliament voted on a EUR 500 billion spending package, the DAX also moved due to the strong government spending.
The top DAX Index Gainers for this Year
The Rheinmetall shares have surged over 112% in this year. This surge occurred as Germany increased its defense expenditures as the Ukraine war continued.
The US has taken a hard stance towards Europe and the government is modernizing their defense bases, concentrating on European firms.
Recent results show that group sales increased by 24 percent to EUR4.7billion, while the defence sector grew by 36 percent. The company’s backlog has jumped from EUR63billion to EUR63billion, a new record.
Commerzbank’s share price has risen by 138% in the last year. This is due to the continued accumulation of Unicredit, a giant Italian bank, and the continuing surge in European banks stocks.
Unicredit hinted at a possible acquisition either in this year or 2026. Commerzbank is at risk of being overvalued, as its stock has increased by nearly 200% within the past 12 months.
Siemens Energyis also a top performer on the DAX Index, having risen by 88% in this year and 24% over the past three months. The ongoing turnaround has allowed the company to continue benefiting from a robust order intake.
Siemens Energy’s order intake increased to EUR16.6billion, a jump of 13.5%. Profit before special items grew to EUR497 millions, a significant increase from the EUR49million it earned in the same quarter last year.
Deutsche Bank share price has increased by 63% in the past year due to the continued surge of profits. Recent numbers show that the trading activity boomed thanks to the volatility caused by Donald Trump’s tariffs.
Other top gainers on the DAX Index included companies such as Heidelberg Materials and Bayer. E. ON, Allianz, Siemens, and Deutsche Post.
Adidas, a leading sporting goods company, was the biggest laggard of the index, as it’s growth slowed. Other top losers on the German DAX included Zalando and Symrise as well Porsche, Merck and Beiersdorf.
The post Best stocks and top catalysts of the DAX Index for 2025 may change as new information is revealed.
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