DAX ETF

Shares in luxury carmaker Porsche AG are up 3.4% at the top of Frankfurt's blue-chip DAX index after traders points to positive brokerage comments following a call with investors prior to the start of the blackout period.

Market volatility persists as DAX stocks adjust to international trade shifts and speculative forecasts on Fed and ECB rate decisions.

The German economy is facing a dreary economic backdrop, with an economic contraction in 2023 and downward revisions in growth expectations for 2024 and 2025. Despite the economic environment, DAX has outperformed both the broad developed ex-US market and the Eurozone in recent performance. Confidence in the German market remains for the time being, and DAX presents an opportunity for investors looking for exposure to premier German companies across sectors.

The German DAX Has Hit An All-Time High In December And This Is Why

Investors were net purchasers of fund assets for the third straight week, adding a net $18.7 billion. Equity funds, money market funds, and taxable bond funds saw inflows, while alternatives funds, tax-exempt bond funds, mixed-assets funds, and commodities funds suffered outflows. Exchange-traded equity funds attracted $13.4 billion in weekly net inflows, while conventional equity funds experienced outflows for the sixty-first straight week.

With the German economy remaining stagnant in the second quarter of 2023, take a look into how Germany-heavy ETFs perform.

German equities have de-rated lower over the last month amid concerns about more rate hikes this year. But the resilience of the underlying economic data points to a more benign outcome for Global X DAX Germany ETF portfolio earnings. Relative to its earnings growth outlook, the DAX fund is priced very reasonably.

As Germany slips into a recession by contracting 0.3% in Q1, look into how ETFs are affected and how to navigate the uncertain economic conditions.

Germany's blue-chip index is a eyeing a fresh record as investors warm to its tech-lite mix of relatively lowly-valued but high quality industrials, carmakers, insurance and healthcare companies.