The DAX index rose while real‑estate stocks such as Vonovia were in focus after the Berlin state election, which increased pressure on the German federal government. A decline in oil prices provided some relief to the market.
The German real estate group Vonovia confirmed its full-year outlook, noting that while it gains from increasing property prices, higher financing costs are weighing on the heavily indebted DAX-listed company.
Vonovia CEO Luka Mucic responds to escalating tensions in Berlin’s expropriation debate, addressing burning cars and verbal abuse of company employees. He advocates for a middle ground approach to resolve the housing and landlord tensions.