We recently compiled a list of the 10 Stocks Lead Wednesday’s Charge, Mirror Broader Gains. In this article, we are going to take a look at where Deutsche Bank Aktiengesellschaft (NYSE:DB) stands against the other stocks.
US shares stayed firmer on Wednesday, with all major indices finally eking out gains as President Donald Trump softened on trade restrictions for three large automakers, reviving hopes that the trade war may not be as bad as it seemed.
The Dow Jones grew 1.14 percent, the S&P 500 rose by 1.12 percent, while the tech-heavy Nasdaq jumped 1.46 percent.
On Wednesday, the White House granted three large automakers a one-month exemption from tariffs after a call with the president, sending their share prices higher during the session.
Ten firms also mirrored the broader optimism, posting strong gains during the day. In this article, we have listed the 10 names and detailed the reasons behind their performance.
To come up with Wednesday’s top gainers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.
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Deutsche Bank Aktiengesellschaft (NYSE:DB)
Deutsche Bank Aktiengesellschaft (NYSE:DB) rallied by 13.77 percent on Wednesday to finish at $23.88 each as investor sentiment was fueled by optimism that the next German government will implement fiscal reforms to allow more spending on defense and infrastructure projects.
Following the news, Germany’s 10-year government bond yield surged by 2.78 percent.
The higher spending spells good news for the German and larger European economy, including DB.
According to reports on Tuesday, Germany’s conservative Union bloc and the Social Democratic Party shook hands in adjusting constitutional debt brake system to allow defense spending to exceed 1 percent of Germany’s gross domestic product.
They also announced as much as 500 billion euros ($535 billion) in special funds for infrastructure projects.
The expected fiscal reforms could signal increased demand for financial services, which would largely benefit banks including Deutsche Bank Aktiengesellschaft (NYSE:DB).
Overall DB ranks 4th on our list of Wednesday’s top gainers. While we acknowledge the potential of DB as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than DB but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
