The DAX Index Opens 1.21% Lower

Frankfurt's DAX 40 fell more than 1% to below 22,700 on Thursday, reversing yesterday's gains, as uncertainty about a swift resolution to the Middle East conflict prevailed, despite President Trump's claims that productive talks are underway. Iran on Wednesday rejected the US 15-point plan to pause the war, continued attacks on Israel and Gulf countries, and proposed its own terms, including reparations and control of the Strait of Hormuz, while Washington warned of harsher strikes if Iran's leadership does not back down. The continuing tensions are driving energy prices higher and contributing to rising global inflation and economic concerns. All major sectors traded lower, led by tech, industrials and financials. In equities, Siemens Energy, Infineon, Rheinmetall and MTU Aero Engines were among the worst performers, falling 3.4%, 3% and 2.9% and 2.6%, respectively.

The DAX Index is falling -278 points. Losses were driven by Siemens Energy (-3.66%), Rheinmetall (-3.22%) and Infineon (-3.16%).

The DAX Index gained 320 points or 1.41 percent on Wednesday to close at 22957 points. Gains were led by Siemens Energy (4.39%), Infineon (3.68%) and Vonovia (3.20%).