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Markets signal confidence in new German government

Dagmar Zindel
February 24, 2025

The DAX index rose a day after the German election, signaling that investors are relieved by the result. Many economists are now hoping for a stable formation of government and quick business-friendly reforms.

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Shares in German companies listed on the Frankfurt Stock Exchange rose after the election results, with optimism about a neoliberal coalition between conservatives and Social Democrats. The DAX Index opened slightly higher, and the euro strengthened. A key market focus is the potential reform of the debt brake to enable necessary investments. Defense stocks like Rheinmetall gained due to geopolitical tensions. Political events are expected to have only a short-term impact on stock prices.

This video summary was created by AI from the original DW script. It was edited by a journalist before publication.