20 March 2025 | DAX

German stocks sagged as market participants assess economic prospects

German stocks sagged as market participants assess economic prospects

In the middle of this week, European stock markets were showing mixed dynamics while investors were assessing reforms in Germany and waiting for central banks' decisions on monetary policy.

The pan-European Stoxx 600 closed with a slight increase amid multidirectional movement of sectors and major exchanges. Meanwhile, Germany's DAX index broke a three-day winning streak and fell 0.4%. The decline was primarily influenced by a drop in stocks of defense companies, including Rheinmetall and Hensoldt, which had previously performed strongly this month.

This came after German lawmakers decided on Tuesday to reform the so-called ‘debt brake’ rule and increase defense spending.

In addition, market participants are awaiting the Bank of England's interest rate decision, with its meeting finishing today. Analysts quoted by CNBC expect the British regulator to take after the US Federal Reserve and leave the borrowing costs at the same level amid uncertainty about the prospects of the global economy.

Elena Dorokhina MarketCheese
Period: 06.07.2026 Expectation: 4300 pips
Silver bids for support amid new geopolitical jitters
Today at 06:27 AM 3
Period: 26.07.2026 Expectation: 1600 pips
Buying AUDCAD from support level
26 June 2026 62
Period: 03.07.2026 Expectation: 1310 pips
GBPUSD is still poised for further downside
26 June 2026 36
Brent sell
Period: 03.07.2026 Expectation: 500 pips
Higher supply and weaker demand is likely to push Brent into red zone by weekend
26 June 2026 27
Period: 26.07.2026 Expectation: 3100 pips
Invest in USDCAD up to 1.45000
26 June 2026 35
Period: 02.07.2026 Expectation: 19500 pips
Selling ETHUSD with $1,585 in view following short-lived recovery
25 June 2026 48
Go to forecasts