FRANKFURT (dpa-AFX) – Lower than expected increases in consumer prices in the USA gave the German stock market some tailwind on Wednesday. The Dax closed 0.41 percent higher at 17,885.60 points. The leading index thus ended its seventh consecutive trading day with a gain. The MDax of medium-sized companies rose by 0.85 percent to 24,528.29 points.
In July, consumer prices in the USA rose by 2.9 percent over the year, compared to 3.0 percent in the previous month. Experts had expected an average increase of 3.0%. The core inflation rate excluding energy and food also fell slightly. The US Federal Reserve is thus heading towards an easing of its monetary policy. In addition to falling inflation, this is also supported by weaker labor market and economic data.
“The door is wide open for a Fed rate cut at the September meeting,” commented Dirk Chlench, economist at Landesbank Baden-Württemberg. “If the next labor market…
