German Stocks Close Sharply Higher

Germany’s DAX gained traction after a muted morning to close 1% higher at 19,258 on Wednesday, tracking the positive momentum for other European equity markets as investors awaited tomorrow’s CPI print in the United States.

Additionally, markets positioned for the possibility of more fiscal stimulus to be announced by the Chinese Ministry of Finance after the economic planning agency’s emergency briefing raised skepticism over the sufficiency of previously planned measures, which triggered a selloff in the German auto sector due to their exposure to Asia.

Porsche, Volkswagen, BMW, and Mercedes added between 2.5% and 1%.

In the meantime, Siemens surged 2.4% to lead the industrials, and Infineon and Zalando added 2.5% each to set the pace for tech.