DAX Down for 2nd Day

Frankfurt's DAX 40 closed about 1.3% lower at 24,339 on Friday, extending losses from the prior day, mirroring a broadly negative sentiment across Europe. Traders remained cautious amid reports of military clashes in the Strait of Hormuz, which raised doubts about the deal that could potentially restore energy flows from the Persian Gulf. At the same time, US President Trump on Thursday vowed to impose “much higher” tariffs on the EU by July 4 if the bloc fails to reduce its tariffs on US goods to zero. Rheinmetall plunged more than 15% to top losers after a profit miss on Thursday and JPMorgan’s downgrade to neutral from overweight, which also saw its price target slashed to €1,500 from €2,130. Daimler Truck followed closely, falling nearly 8%. Commerzbank dropped 4.2% as the bank upgraded its financial targets following solid results and set out its strategy for the coming years amid UniCredit’s takeover bid, including plans to cut 3,000 jobs. For the week, the index added 0.2%.

The DAX Index decreased 325 points or 1.32 percent on Friday to close at 24339 points. The decline was led by Rheinmetall (-9.08%), Allianz (-5.04%) and MTU Aero Engines AG (-4.13%).

Frankfurt's DAX 40 fell nearly 1% to around 24,450 on Friday, extending losses from the prior day, as traders weighed renewed military clashes in the Strait of Hormuz and further tariff threats. The US reportedly struck military targets in Iran after the country fired on three naval destroyers sailing in the Strait, amid fragile negotiations over a possible peace framework. At the same time, US President Trump vowed to impose “much higher” tariffs on the EU by July 4 if the bloc fails to reduce its tariffs on US goods to zero. Rheinmetall shares came under renewed pressure, plunging more than 10%, following JPMorgan’s downgrade to neutral from overweight. Commerzbank fell over 1% after publishing its quarterly results. Following a strong first quarter, the bank upgraded its financial targets and set out its strategy for the coming years amid UniCredit’s takeover bid, including plans to cut 3,000 jobs. On the upside, Fresenius Medical Care (4.3%) and Henkel (3.6%) outperformed.