DAX Modestly Higher As Earnings Drive Mixed Trading

(RTTNews) - The German stock market's benchmark index DAX moved slightly higher Thursday morning with investors largely reacting to corporate earnings updates and the latest batch of regional economic data, in addition to assessing the situation in the Middle East.

The DAX, which slipped into negative territory after opening slightly up, climbed to 26,210.50 before dropping to 26,169.49, up 30.45 points or 0.12% from previous close.

Deutsche Telekom gained about 6% after the company's profit from operations for the second-quarter came in at Euro 6.863 billion as against prior year's EUR 6.642 billion. Net revenue was EUR 29.933 billion in the second quarter, compared with EUR 28.671 billion a year ago. The phone carrier expanded its 2026 share buyback program by as much as €3 billion ($3.5 billion).

Henkel moved up 4.3% despite the company's net income dropping by 11% to 988 million euros in the first half.

Merck gained 1.5% after the company upgraded the target corridors for its full year guidance. The company reported a net income of 494 million euros for the second-quarter, compared to 655 million euros, a year ago. Group net sales increased to 5.4 billion euros from 5.3 billion euros, prior year, representing organic growth of 4.1%.

Zalando gained 3.1%, Fresenius Medical Care and Fresenius both moved by a little over 2%. Brenntag, MTU Aero Engines, SAP, Munich RE, Rheinmetall, Allianz, Daimler Truck Holding and Bayer gained 1%-1.7%.

Commerzbank gained about 0.7%. The lender reported that its second quarter net result attributable to shareholders increased to 898 million euros from 462 million euros, prior year. Operating result increased by around 17% to 1.37 billion euros in the second quarter.

Nordex gained 2.5%. The wind turbine manufacturer said it has secured an order from Turkerler Holding to supply and install wind turbines with a total capacity of about 525 MW.

Siemens shed nearly 6% despite reporting higher earnings. The company's net income for the third-quarter grew to 2.270 billion euros from last year's 2.046 billion euros. Earnings per share improved to 2.91 euros from 2.58 euros a year ago.

Scout24 drifted lower by 5.6% despite reporting higher earnings. Net income increased to €63.2 million, or €0.90 per basic share in the second-quarter, from €39.0 million, or €0.54 per basic share, a year earlier, the company said.

Beiersdorf, Infineon Technologies, Deutsche Post, Vonovia and Mercedes-Benz posted moderate losses.

Survey results from S&P Global showed Germany's construction sector downturn deepened in July with building companies reporting further declines in total activity and new orders. The construction Purchasing Managers' Index posted 42.1 in July compared to 44.8 in June. This was the lowest score in three months.

Data from Destatis showed Germany's factory orders grew more than expected in June, rising by 3.1% on a monthly basis, faster than the revised 0.3% rise in May and economists' forecast of 0.5%.

Excluding large scale orders, new orders dropped 0.5% from the previous month.

Data from the Federal Motor Transport Authority showed new passenger car registrations in Germany decreased 1.2% year-on-year in July from 15.7% in June.

Retail sales in Euro zone dropped 0.3% in June after seeing a 0.4% increase in May. Retail sales were expected to rise by 0.1% in June.