Snapshot: The DAX is up 0.60% to 25249, buoyed by the fall in German HICP to 2% from 2.6% previously. The easing of inflationary pressures domestically is supporting risk sentiment.
- Immediate resistance is the intraday high of 25260.
- Geopolitical tensions in the Middle East, as referenced by overnight commentary, represent a downside risk and could trigger a reversal.
Bias into NY: We expect the DAX to hold gains early in the NY session, supported by positive risk sentiment reflected in US futures, S&P 500 futures +0.28%. Watch for any repricing following the US open and incoming data releases later in the week.