DAX Extends Gains Amid Easing Fed Bets

German stocks advanced on Friday as sentiment was buoyed by strong earnings from U.S. department store operator Macy's Inc and discount chains Dollar General Corp and Dollar Tree.

Investors also reacted favorably to the minutes of the Fed's May 3-4 policy meeting suggesting that the U.S. central bank might slow or even pause its tightening cycle in the second half of the year.

The focus now shifts to the U.S. April core PCE price index due later in the day that could provide clues as to how the inflation outlook is shaping up.

The benchmark DAX climbed 86 points, or 0.6 percent, to 14,317 after gaining 1.6 percent in the previous session.

Heavyweight banks and automakers were narrowly mixed. Daimler Truck Holding rose nearly 2 percent and Infineon Technologies jumped 2.3 percent while utility RWE was down 2.2 percent.

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