Snapshot: The DAX is trading flat at 25027, a marginal +0.16% gain for the session. With no fresh domestic macro prints to digest this morning, attention is firmly fixed on today’s ECB President Lagarde speeches at 15:00 and 17:25 CET, which will dictate sentiment for the remainder of the European session and into New York.
- The Eurozone unemployment rate holding steady at 6.3% provides a stable backdrop, but market participants are seeking clarity on the ECB’s forward guidance.
- Watch for any hawkish signals from Lagarde that could pressure European yields higher and weigh on equity multiples, especially given the recent uptick in US Treasury yields.
Bias into NY: We see a neutral to slightly cautious bias into the New York open. While the DAX has held its ground, the lack of a clear domestic catalyst leaves it vulnerable to cross-asset flows, particularly if US yields continue their ascent and the VIX shows further signs of life.