DAX Recovers From Early Setback, Down Marginally In Cautious Trade

(RTTNews) - After closing the previous session on a firm note following the passage of a massive spending plan, German stocks are mostly subdued on Wednesday as investors await the Federal Reserve's monetary policy announcement later in the day.

The Fed is widely expected to hold rates unchanged. The post-meeting statement and economic projections from Fed Chair Jerome Powell are eyed for clarity on how fresh tariffs by the Trump Administration may impact prices and economic activity.

Investors are also looking ahead to the policy announcement from the Bank of England on Thursday.

The benchmark DAX, which dropped to 23,215.44 in early trades, was down 33.13 points or 0.14% at 23,360.10 a little while ago.

Vonovia is declining by about 1.5%. The private residential real estate company said that its fiscal 2024 net loss narrowed significantly from last year with growth in revenues. In fiscal 2024, net loss attributable to Vonovia's shareholders was 896.0 million euros, compared to prior year's loss of 6.29 billion euros. Loss per share was 1.09 euros, compared to loss of 7.80 euros a year ago.

Looking ahead, for fiscal 2025, the company expects to report adjusted EBITDA of between 2.70 billion euros and 2.80 billion euros, and adjusted EBT between 1.75 billion euros and 1.85 billion euros.

Rheinmetall is down more than 2%. BASF, Brenntag, Sartorius, Bayer, BMW, Daimler Truck Holding and Mercedes-Benz are down 1 to 1.6%.

Fresenius Medical Care, Volkswagen, Porsche, Symrise, Deutsche Bank, Siemens and Continental are lower by 0.5 to 0.9%.

Heidelberg Materials is climbing up nearly 2%. Deutsche Boerse is up 1.1%, while Adidas, Commerzbank, Fresenius, Siemens Energy, Deutsche Post and Munich Re are up 0.3 to 0.7%.

Data from Statistics Canada showed the Euro area's consumer price inflation rate eased to 2.3% in February, slightly below the preliminary estimate of 2.4% and down from a six-month high of 2.5% in January. The CPI rose 0.4% month-over-month in February 2025, slightly below 0.5% in the preliminary estimate, and compared to a 0.3% fall in January.

Core consumer prices in the Euro Area increased 2.6% in February over the same month in the previous year.