German stocks rise sharply amid tentative tariff truce

On Thursday, the European Union (EU) announced a 90-day pause before imposing trade countermeasures against the United States. European Commission President Ursula von der Leyen stated the move was intended to give negotiations with the US a chance. Following this announcement, Germany's DAX stock index rose 4.67% by the close of trading in Frankfurt, reversing recent losses. Meanwhile, additional measures from EU countries remain in the preparation stage.

According to TradingView experts, leading economic institutes now forecast Germany's GDP growth in 2025 at only 0.1%, a significant drop from the previous forecast of 0.8%. They attribute the lower forecast to factors such as geopolitical tensions, US protectionism, growing competition from China, and structural problems like labor shortages and bureaucracy.

In corporate news, SAP SE (up 7.21%), Deutsche Bank (up 7.15%), and MTU Aero Engines AG (up 6.48%) were the best-performing stocks during the session. Conversely, Qiagen NV shares showed the biggest decline, falling 0.9%.