Trade DAX40
DAX 40 Index
Germany's flagship equity index tracking the 40 largest Frankfurt-listed companies, an export-dependent benchmark acutely sensitive to Chinese demand and ECB policy.
Specifications
About DAX40 (Germany DAX 40)
The DAX40 tracks the 40 largest companies listed on the Frankfurt Stock Exchange, measured by market capitalization and order book volume. A defining feature of the DAX is its calculation as a performance index, dividends are reinvested, making it a total return index rather than a price-only index. The DAX therefore grows faster than equivalent price-only indices, and comparisons with the S&P 500 or FTSE 100 must account for the methodology difference. Germany's economy is export-led, with automotive, chemical, and engineering companies dominating the index. China is Germany's largest single trading partner outside the EU, making DAX performance sensitive to Chinese demand cycles.
Key Price Drivers
- Chinese economic data and import demand (Germany's largest non-EU trading partner)
- ECB monetary policy, Eurozone credit conditions, and EUR/USD exchange rate
- German manufacturing orders, IFO business confidence, and industrial output data
- European energy costs and gas prices (German industry is energy-intensive)
Peak Trading Hours
The DAX40 CFD trades around the clock but is most active during the European session.
Xetra cash session (07:00-15:30 UTC)
German economic data releases typically hit at 07:00-08:00 UTC and set the tone for the European session. The DAX often reacts to the US open at 13:30 UTC given the export sector's USD earnings sensitivity.
How to Trade DAX40 on StoicFX
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Find DAX40 in MT5
Open MetaTrader 5, search for DAX40 in Market Watch, and add it to your chart.
Place Your Trade
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FAQ
Why is the DAX called a performance index?
Unlike the S&P 500 or FTSE 100, the DAX reinvests dividends back into the index calculation. That makes it a total return index rather than a pure price index, so the DAX will outperform a price-only version of itself over time, and traders who compare the DAX to other global indices should account for this difference when assessing relative performance.
Why does China's economy matter so much for the DAX?
Germany's export sector, particularly carmakers, machinery manufacturers, and chemical companies that make up a large share of the DAX, derives substantial revenue from China. BMW, Mercedes-Benz, Volkswagen, BASF, and others generate a meaningful portion of profits from Chinese consumers and industrial customers. When China's economy slows, German corporate earnings expectations fall, and the DAX often underperforms other European indices as a result.
What sectors dominate the DAX40?
The DAX40 is heavy on industrials, automotive, chemicals, and financials. Major constituents include carmakers, industrial conglomerates, pharmaceutical companies, and insurance groups. Technology is represented but smaller than in US indices. The automotive weighting is a distinctive feature that ties DAX performance to global vehicle demand cycles more than any other major benchmark.
How does the EUR/USD exchange rate affect the DAX?
Germany's largest companies earn significant revenue in US dollars and other non-euro currencies. When the euro strengthens, those overseas earnings are worth less when converted back into euros, which can reduce reported profits. A weaker euro boosts the translated value of foreign earnings and makes German exports more price-competitive globally. The effect is a partial inverse correlation between EUR/USD and the DAX.
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CFDs are complex instruments and carry a high risk of rapid capital loss due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.