The DAX Index Closes 1.62% Lower

The DAX Index dropped 395 points or 1.62 percent on Tuesday to close at 23955 points. Losses were led by Munich RE (-5.99%), Zalando (-5.86%) and Siemens Energy (-5.05%).

The DAX 40 dropped 1.5% to 23,975 on Tuesday, hitting a two-week low as rising geopolitical tensions in the Middle East and higher oil prices weighed on market sentiment. Although the Iran ceasefire has held for nearly five weeks, US President Donald Trump warned it is now “hanging by a thread,” increasing concerns over renewed conflict and its potential impact on global growth. Investors remain cautious about prolonged disruption, while some hope China could play a mediating role between the parties. On the corporate front, Munich Re fell 6% despite reporting strong profits, after accepting price reductions in contract renewals. Siemens Energy declined 5.6% even after posting a solid second quarter and signalling further shareholder returns ahead. In contrast, Bayer rose 4% after a strong start to the year, supported by robust demand for soybean and corn seeds and continued cost-cutting efforts.

Frankfurt’s DAX 40 dropped about 1% to 24,100 on Tuesday, hitting its lowest level in a week, as Middle East tensions and rising oil prices weighed on sentiment. While the Iran ceasefire has held for nearly five weeks, US President Donald Trump warned it is now "hanging by a thread." Investors fear a prolonged impact on global markets and the economy, though they hope China can mediate between the conflicting parties. In earnings, Munich Re fell 4% despite strong profits, as it accepted price cuts in renewals. Siemens Energy declined 1.6% even after a strong second quarter, planning more shareholder returns, while Thyssenkrupp fell 1% after cutting its revenue forecast due to weak automotive demand and lower steel prices. On a positive note, Bayer surged 4.6% following a strong start to the year, driven by robust soybean and corn seed sales and ongoing cost cuts.