Frankfurt Shares nearby: MDAX in a mood of optimism after election result -February 24, 2025 at 12:08 p.m. EST

Frankfurt (dpa -afx) -The victory of the CDU/CSU in the Bundestag elections heated up hope of economic recovery in Germany on Monday and increased the MDAX in particular on the stock exchange. The stock market barometer closed by 1.52 percent with 27,918.55 points. The index, which includes medium -sized companies, has closed the gap on the DAX this year. The leading German index rose 0.62% to 22,425.93 points on Monday.

The MDAX had always done the DAX below average in recent years. It thus reflected the situation of medium -sized companies that are more dependent on Germany's economy and therefore suffered more from the economic downturn in Germany than the globally positioned companies in the DAX.

Market observers said that the hopes for an improved economy helped medium -sized and somewhat smaller companies. Since the beginning of the year, the MDAX has increased by almost 9 percent, while the DAX has grown by a good 12 percent. The second index SDAX rose a little more than the DAX with an increase of 0.9 percent on Monday.

In view of the election victory of the CDU/CSU and a likely two-party coalition with the SPD, a new government in Germany can be present based on Easter to address the economic challenges. According to Ulrich Kater, chief economist at Dekabank, the chances of improving the economic environment and the stable political conditions are now not bad. “The election result will support the first preliminary signs of recovery in the German economy.”/Edh/He