DAX Pares Early Gains As Mood Turns Cautious Ahead Of ECB Announcement

(RTTNews) - After a bright start, German stocks retreated and slipped into negative territory Thursday morning, with the mood turning cautious amid concerns about U.S.-China trade tensions.

Also, investors are digesting earnings updates and looking ahead to the European Central Bank's monetary policy announcement.

Also, ahead of a long weekend, investors appear to be a bit wary of holding positions at higher levels. The market will remain closed on Friday and Monday, for Good Friday and Easter Monday, respectively.

The benchmark DAX, which climbed about 130 points to 21,445.65 earlier in the session, was down 67.46 points or 0.32% at 21,248.50 a little while ago.

Fresenius Medical Care, Sartorius and Heidelberg Materials are down 3 to 3.5%. Qiagen is declining 2.3%.

Merck, MTU Aero Engines, Fresenius, Deutsche Telekom and Deutsche Post are down 1.2 to 2%. Henkel, Commerzbank, BMW, Bayer, SAP and Brenntag are down with moderate losses.

Siemens Energy is soaring nearly 11% on strong earnings and encouraging guidance. Siemens Energy posted second-quarter revenue of 9.96 billion euros ($11.32 billion), higher than an expected revenue of 9.27 billion euros.

The company hiked its full-year guidance, saying it expects comparable revenue growth between 13-15% from previously anticipated 8-10% and a profit margin before special items between 4-6% from previously expected 3-5%

Siemens is up by a little over 1%, while Porsche Automobil Holding and Continental are up marginally.

In economic news, data from the Federal Statistical Office DeStatis showed producer prices in Germany unexpectedly dropped by 0.2% year-on-year in March, reversing a 0.7% rise in February. It marked the first decline in producer prices since last October.

On a monthly basis, the PPI fell by 0.7%, marking the fourth straight month of decline, and the steepest falls since December 2023, following a 0.2% drop in the previous month.