FX.co ★ DAX Extends Gains On Economic Optimism

German stocks experienced an uptick on Friday, building on the gains from the previous session, as concerns about a potential U.S. recession subsided. Investors grew optimistic that the Federal Reserve might reduce interest rates by at least 25 basis points in the forthcoming policy meeting.

The DAX, Germany's primary stock index, climbed by 0.5% to reach 18,275, following a significant 1.7% rise the day before.

Key sectors, particularly banks and automakers, saw notable increases. Prominent companies such as Deutsche Bank, Volkswagen, and Mercedes-Benz each recorded gains of approximately 1%.

Meanwhile, the U.S. dollar edged slightly lower against the euro and the British pound, prompted by positive data on consumer spending and the labor market.

Market participants are now turning their focus to the annual Jackson Hole Economic Symposium, a significant gathering of the world's foremost central bank leaders. This year's symposium is scheduled for August 22-24.