DAX Moves Higher Despite Weak Ifo Data

Forex News

Stock indices in Europe rose on Thursday, while investors were awaiting a decision of the European Central Bank (ECB) on rates. The German DAX stock index is trading at 11.240 level, having gained 0.44% on the day.

Global markets continue to trade in red. The DAX has lost 3.6% this week, having reached its lowest level since December 2016 of 11.078 earlier on Thursday. However, the DAX has managed to show gains.

Investors await results of the ECB meeting. The ECB is expected to hold its interest rate flat at 0.00%. The Bank faces many geopolitical problems, both in Europe and abroad, including the spike in Italian bond yields, the Brexit impasse and the US-China trade war.

Today's data showed, that German Ifo Business Climate dipped to 102.8 in October and marked a 3-month low. The indicator missed the forecast of 103.1 points. The current assessment sub-index fell to 105.9 in October from 106.4, compared to expectations for 106.0. The business expectations index, which measures attitudes toward business prospects over the next six months, dropped to 99.8 in October from 101.0 last month and missed estimates for a reading of 100.3.