German Stocks Up Marginally After Mild Setback

(RTTNews) - The German market, which retreated after a positive start Tuesday morning, recovered some lost ground subsequently, but remains a bit subdued, amid concerns about global economic growth due to Trump administration's uncertain trade policies.

A downward revision in global growth forecast by OECD, and news about the collapse of the Deutsche Government are weighing on sentiment.

Investors are also digesting eurozone inflation data.

The benchmark DAX, which climbed to 24,052.86 in early trades, dropped to 23,818.82 before recovering to 23,964.17, recording a marginal gain of 17.79 points or 0.07%.

Rheinmetall and Deutsche Telekom are gaining 2.3% and 2.2%, respectively. Vonovia is up nearly 2%, while MTU Aero Engines is advancing 1.3%.

SAP, Allianz and E.ON are up with modest gains.

Zalando is down more than 2.5%, and Adidas is drifting down 2.3%. Continental, Porsche Automobil Holding, Heidelberg Materials, Beiersdorf and Bayer are down 1 to 1.5%.

BASF, Siemens, Porsche, Mercedes-Benz, Brenntag, Commerzbank and Volkswagen are down 0.5 to 1%.

The Organization for Economic Co-operation and Development (OECD) slashed its global growth forecast to 2.9% from its earlier forecast of 3.1% for 2025.

The Paris-based firm said the outlook across the globe has become challenging with rising trade barriers and policy uncertainty, which is weighing on consumer confidence and blocking investments.

Flash data from Eurostat showed eurozone inflation eased more than expected in May largely due to the slowdown in services inflation.

Inflation softened to 1.9% in May, slightly below the central bank's target of 2%. Inflation was expected to slow to 2% from 2.2% in April.

Core inflation that strips out prices of energy, food, alcohol and tobacco, slowed unexpectedly to 2.3% from 2.7%. The rate was seen at 2.4%.

On a monthly basis, the harmonized index of consumer prices remained flat in May.

A separate data from Eurostat said the unemployment rate in the Euro Area edged down to 6.2% in April 2025, matching the record low set in December. The rate was down from a revised 6.3% in March.