DAX Climbs To 4-week High On Inflation Data, Earnings

(RTTNews) - Germany's DAX climbed to a four-week high on Wednesday with investors continuing to pick up stocks amid hopes the US government shutdown will come to an end soon, and expectations of an interest rate cut by the Federal Reserve in December.

Investors also reacted to the latest batch of earnings updates, and data showing a smaller than expected increase in Germany's consumer price inflation in the month of October.

The DAX, which climbed to 24,406.23, was up 269.25 points or 1.12% at 24,365.50 a little while ago.

Infineon is surging nearly 7% after the chipmaker significantly raised its 2026 sales target for the AI power supply segment. In the fourth quarter, profit was 231 million euros or 0.17 euro per share, compared to prior year's loss of 84 million euros or 0.07 euro per share.

Bayer is gaining 4.5% after its third-quarter adjusted profit beat market view. RWE is up 3.5% after nine-month profit beat expectations.

Brenntag is rising 5.5%. Heidelberg Materials is up 3.4%, while Commerzbank, Porsche Automobil Holding, Deutsche Post, Volkswagen, Merck and BMW are gaining 2 to 2.5%.

Siemens, Qiagen, Adidas, Deutsche Bank, Munich RE, Zalando, SAP, Siemens Healthineers and Mercedes-Benz are also notably higher.

E.ON is declining by about 4%. Scout24 is down 1.7%, while Deutsche Boerse, Siemens Energy and MTU Aero Engines are down with modest losses.

Data from Destatis showed Germany's consumer price inflation weakened in October after rising for two straight months. The consumer price index logged an annual increase of 2.3%, which was slower than the 2.4% rise in September. The rate came in line with the estimate released on October 30.

Excluding food and energy, core inflation held steady at 2.8%, as initially estimated.

On a monthly basis, consumer prices gained 0.3% in October.

EU harmonized inflation weakened to 2.3%, in line with estimate, from 2.4% in September. Month-on-month, the harmonized index of consumer prices moved up 0.3%, following a 0.2% in September.

Another data from Destatis showed that wholesale price inflation softened to 1.1% in October from 1.2% in the previous month. On a monthly basis, wholesale prices climbed 0.3%, slightly faster than September's 0.2% increase.