DAX Rises As War Fears Ease

(RTTNews) - The DAX benchmark that tracks the performance of the 40 largest companies listed on the Frankfurt Stock Exchange rose on Wednesday, amidst an easing in the tensions between Ukraine and Russia.

The forty-scrip DAX index is currently trading 0.17 percent higher at 19,116.31, versus the previous close of 19,083.28. The day's trading ranged between a high of 19,191.83 and a low of 19,108.17.

In the 40-scrip index, 23 scrips are trading in the overnight green zone. Zalando has surged 2.1 percent followed by Heidelberg Cement that has gained a little less than 2 percent. Airbus Group gained 1.9 percent. Deutsche Bank rallied 1.5 percent whereas SAP recorded an increase of 1.1 percent.

Porsche topped losses with a decline of close to 4 percent. Rheinmetall declined 2.5 percent. Porsche Automobil Holding, Sartorius and Brenntag have all declined more than 1 percent.

The EUR/USD pair has slipped 0.42 percent and is currently trading at 1.0551 after ranging between 1.0610 and 1.0547. The EUR/GBP pair has dropped 0.27 percent to 0.8333 whereas the EUR/JPY pair has spiked 0.31 percent to 164.36.

In tandem with the global hardening in bond yields that followed the easing in geopolitical tensions, German bond yields increased 0.68 percent. The same is at 2.3550 percent versus 2.3390 percent at the previous close. Yields ranged between 2.3700 percent and 2.3345 percent in the day's trading.

The surge in Euro Area wage growth to 5.4 percent in the third quarter from 3.5 percent in the second quarter and attributed to a great extent to Germany also contributed to the spike in bond yields. Data released earlier in the day had showed producer prices in Germany declining by 1.1 percent on a year-on-year basis in October, in line with expectations. Prices had fallen 1.4 percent in the previous month.