The DAX Index Opens 0.92% Lower

Frankfurt's DAX 40 fell more than 1% to below 23,600 on Monday, as risk aversion intensified after US–Iran peace talks collapsed and Washington announced a blockade of the Strait of Hormuz. Rising tensions pushed oil prices above $100 a barrel, reigniting fears of energy-driven inflation. Investors also watched Hungary’s election outcome, expected to reinforce the EU’s stance, while focus shifts to the start of earnings season on both sides of the Atlantic. Most sectors experienced selling pressure, particularly banks, consumer cyclicals, technology, and industrials. In equities, Lufthansa slipped nearly 5% on rising oil prices and a new pilots’ strike that disrupted German airports. Other top losers included Deutsche Telekom, MTU Aero Engines, Airbus, Continental and Commerzbank, all down more than 2%. On the upside, Rheinmetall (2%) advanced the most.

The DAX Index is dropping -220 points. Leading the losses are Deutsche Telekom (-2.66%), Commerzbank (-2.34%) and MTU Aero Engines AG (-2.12%). Top gainers were Rheinmetall (2.43%), Brenntag (0.65%) and RWE (0.30%).

Frankfurt's DAX 40 pared early gains to close almost flat at 23,804 on Friday, following yesterday's decline, as investors eyed weekend talks between the US and Iran following a two-week ceasefire agreement. US and Iranian delegations are set to meet in Pakistan on Saturday, while Israel has agreed to hold talks with Lebanon’s government, raising hopes of de-escalation in the region. At the same time, Bloomberg reported that Ukraine and Russia are moving toward a potential deal to end the war, citing a senior aide to President Volodymyr Zelenskiy. Among single stocks, Heidelberg Materials led the way, rising 3.7%, followed by BASF (2.2%); BMW (1.8%), Siemens (1.7%) and Siemens Healthineers (1.7%). On the flip side, Rheinmetall (-5.9%) emerged as the biggest laggard amid hopes for resolution to major global conflicts. For the week, the index advanced by 2.7%.