The DAX Index Closes 0.68% Higher

Frankfurt's DAX 40 fell 1.5% to below 23,000 on Thursday, reversing yesterday's sharp gain, as hopes of a quick resolution of the Middle East conflict faded. In his first national address since the Iran war began, Donald Trump gave no timeline for ending the conflict and offered no plan to reopen the Strait of Hormuz, while pledging further strikes on energy facilities if Tehran rejects a deal. His rhetoric triggered a sharp rise in oil prices, reigniting fears of rising inflation and slowing economic growth. Selling pressure spread across most sectors, with technology, financials, and industrials leading the declines. In equities, Infineon (-4.8%), Siemens Energy (-4.2%), Heidelberg Materials (-2.9%), Siemens (-2.8%), Airbus (-2.6%) and MTU Aero Engines (-2.5%) were among the top losers. Deutsche Bank and Commerzbank dropped 3.5% and 2.3%, respectively. Still, the DAX was poised for a weekly gain of nearly 3%.

The DAX Index is losing -342 points. Losses were led by Infineon (-4.67%), Siemens Energy (-3.98%) and Deutsche Bank (-3.26%).

Frankfurt's DAX 40 surged 2.7% to close at 23,298.9 on Wednesday, after posting its worst month since March 2020, amid renewed hopes that the Iran war could end soon. US President Trump said American troops would leave in two to three weeks, with or without a deal. On the Iranian side, President Massoud Peseshkian expressed openness to a ceasefire, provided security guarantees are ensured. Siemens Energy and Rheinmetall led the way, gaining 6.8% and 6.6%, respectively. Other top performers included Infineon, Continental, Siemens, Airbus and MTU Aero Engines, adding between 4.5% and 5.7%. Deutsche Bank and Commerzbank rose 5.4% and 4.7%, respectively. Among the few losers, BASF saw the biggest decline, falling nearly 3%.