The DAX Index Decreased Significantly
European stocks fell today, as investors assessed corporate earnings reports and new economic data. Germany's DAX stock index fell 0.71% and is trading at 13.291.50. The DAX received momentum from the strong performance of the Eurozone and Germany and grew by 2.2% since the beginning of the year.
The economy of the Eurozone remains strong, with the support of Germany's reliable economic indicators. Retail sales, the main indicator of consumer spending, showed a significant increase of 1.5% in December after a decline of 1.1% in November. The unemployment rate in the Eurozone fell to 8.7%, which was the lowest level since 2009.
Political uncertainty in Germany continues, as Angela Merkel was unable to form a coalition after the elections in September. Merkel now hopes that the Social Democrats will help her form a new government, and preliminary negotiations should begin on Sunday.