Stock market: Dax starts higher ahead of US labor market report, oil prices under pressure

The DAX initially continued its recovery yesterday on Thursday. Investors continued to buy stocks ahead of the much-watched monthly US labor market report. In the morning, the German benchmark index rose 0.4 percent to 23,876 points.

The MDax , the index of mid-cap companies, rose 0.3 percent to 30,375 points. The Eurozone's leading index, the EuroStoxx 50, gained 0.2 percent.

In midweek, the DAX reacted only temporarily negatively to the US private sector cutting jobs in June for the first time in over two years. Economists had expected job growth. However, investors quickly reinterpreted the news as "bad news is good news," fueling speculation about interest rate cuts, commented market expert Stephen Innes of SPI Asset Management.

In the German market, Redcare Pharmacy stood out, posting a share price increase of 2.6 percent after its quarterly key figures. The online pharmacy reported a significant increase in sales, as expected by analysts, and confirmed its annual targets. The figures weren't brilliant, but they were enough to boost the recently weak shares, explained one trader.

Leasing specialist Grenke secured more new business than in the same period last year. Warburg expert Marius Fuhrberg particularly praised the strong margins in his initial reaction. The shares, which had already performed strongly recently, gained another 4.3 percent and took the top spot in the SDax small-cap index.

Brenntag shares performed slightly better than the DAX, rising 0.6 percent despite a downgrade. Private bank Berenberg withdrew its buy rating. Expert Carl Raynsford justified his reassessment by citing a "gloomy summer" as putting the company's annual targets at risk. However, this risk has already largely been priced in.

In the DAX, Infineon continued its recent good development.

Wall Street's blue-chip stocks were largely unchanged on Wednesday. Second-tier stocks and technology stocks, however, mostly gained. The Dow Jones Industrial closed little changed at 44,484 points. In contrast, the broad-based S&P 500 gained 0.5 percent to 6,227 points. The tech-heavy Nasdaq 100 rose 0.7 percent to 22,641 points.

After expectations of interest rate cuts by the US Federal Reserve have recently increased, investors are looking ahead to the US labor market report, which will be released on Thursday before the long weekend in the United States. Signals of this were provided by the jobs data from service provider ADP: The US private sector cut jobs in June for the first time in over two years.

After recovering the previous day, oil prices fell slightly again on Thursday. A barrel (159 liters) of Brent crude from the North Sea for delivery in September cost $68.58, down 53 cents from the previous day. The price of a barrel of the US WTI crude for delivery in August fell 52 cents to $66.93.

The focus remains on trade talks between the US and other countries ahead of the imminent end of an important deadline. US President Donald Trump intends to impose further tariffs starting July 9 if no agreement is reached. The talks between the EU and the US are currently in particular focus. The EU has recently repeatedly threatened retaliatory tariffs if no acceptable agreement is reached. An escalating trade dispute between the two economic powers would strain the global economy and thus also oil demand.

In addition, attention remains focused on a meeting of the major members of the Organization of the Petroleum Exporting Countries (OPEC) and their allies on Sunday. They are expected to agree on another significant production increase, likely by 411,000 barrels per day.