Mixed German IFO index leaves the DAX none the wiser

The June German IFO- Business climate index has now been released. We noted earlier how the markets were expecting a slight improvement on the prior readings. The June reading was forecast to rise to 85.6 from 84.9. It has actually risen as expected. Current conditions were expected to be broadly unchanged, at 86 and they have risen to 87. However, the expectations component has missed forecasts, at 84.1

Ahead of this the DAX had taken out the low point seen yesterday (as we warned), at 24,728 and follow-through on that move delivered a low at 24,669. It was trading around 24,695 when this IFO data hit the street. it has pushed a little higher on this news, but not convincing so yet.

The DAX is currently trading at 24,715