Traders work at their desks in front of the German share price index, DAX board, at the stock exchange in Frankfurt, Germany. PhotoStaff/Remote
Traders work at their desks in front of the German share price index, DAX board, at the stock exchange in Frankfurt, Germany. PhotoStaff/Remote

The German index was up 1.67% at 7:00 a.m. EST, led by VW, BASF and Siemens–core industrial companies that benefit from expanding world trade.

On a valuation and growth basis, Germany remains one of Asia Unhedged’s favorite markets. Indirectly, it’s a China play: Germany and China were each other’s largest trading partners as of the end of 2016. With a forward P/E of 14, the German index looks cheap to American alternatives. And it’s expected to pay a dividend yield of 2.86% this year and 3.10% next year.