Germany’s Blue Chip DAX 30 index ended its last trading session of the year slightly lower at 13,719, near it’s record high of 13,903 reached Tuesday, up 3.6% in 2020. German stocks recovered from the coronavirus crash in March, which set the DAX to a near seven-year low on March 16th. German stocks were the best performer among European stock indices for the year.
Germany’s Blue Chip DAX 30 index ended its last trading session of the year slightly lower at 13,719, near it’s record high of 13,903 reached Tuesday, up 3.6% in 2020. German stocks recovered from the coronavirus crash in March which sent the DAX to a near seven-year low on March 16th. German stocks were the best performer among European stock indices for the year.
German stocks recovered to record highs after the Covid-19 pandemic lockdowns and Brexit uncertainty.
The German stock market did rebound gfrom the depths of despair aided by massive fiscal and monetary policy support globally, and more recently the EU-UK agreement on post-Brexit trade and the roll-out of COVID-19 vaccines loptimism about a quicker economic recovery.
How Global Indices fared in 2020
- In the U.S. the S&P 500 and Dow closed at record levels at the year end.
- The tech heavy Nasdaq led the charge in 2020 up 43.64%, the largest gain since 2009
- S&P was up 16.26%. Since 2010 the S&P is up 240%, though 57% of the gain in the S&P was from just three stocks Microsoft, Amazon and Apple
- The Dow is closed up 7.25% after being down most tof the year, the DJIA was down over -36% at the March low
- In Europe the best performer was the German DAX which rose +3.6% for the year.
- Spain’s IBEX 30 was an even worse performer than the FTSE 100 down -15.5%.
- Italy’s MIB fell -5.4%,
- The French CAC 40 fell -7.1%
- The British FTSE 100 dumped. -14.3%
- The Australian ASX 200 Stock Market Closed Down 1.5% in 2020
- Japan’s Nikkei gained 16%,
- China’s Shanghai composite rose ripped 14% during 2020.
The euro however rallied against the US dollar as massive US QE weakened the dollar and relief that the UK-EU free trade deal had been agreed boosted the euro. The stronger euro added to gains for overseas investors in the German stock market.
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