The DAX Index Closes 0.97% Lower

The DAX Index dropped 238 points or 0.97 percent on Wednesday to close at 24195 points. Losses were led by Siemens Energy (-6.49%), SAP (-3.28%) and Commerzbank (-2.03%). Offsetting the fall, top gainers were Deutsche Telekom (3.06%), Adidas (2.84%) and Symrise (2.47%).

The DAX 40 stayed in negative territory on Wednesday, closing about 1% down at 24,218, its lowest level since mid-May. Market sentiment continued to be pressured by renewed weakness in tech stocks amid concerns over elevated valuations. At the same time, Middle East tensions remained in the spotlight, with hostilities between the US and Iran increasing. Meanwhile, the latest US inflation report came broadly in line with analysts' estimates, easing concerns about broader inflationary pressures. Attention now shifts to the ECB’s upcoming decision on Thursday. Among top losers, Siemens Energy slipped 7.2% and SAP shed 3.4% amid some unease ahead of Oracle’s earnings release due later in the day. Other top losers included Siemens (-2.4%), Commerzbank (-2.3%) and Deutsche Post (-1.8%). On the upside, Deutsche Telekom rose 2.9% after releasing a key software update for a popular router that fixed several bugs. Adidas gained 2.7% following an upgrade by RBC Capital Markets.

The DAX 40 moved into negative territory on Wednesday, falling 0.7% to around 24,200, as lingering concerns over stretched AI-related valuations and ongoing Middle East tensions refrained investors from taking higher positions ahead of US inflation data. On the geopolitical front, US forces launched strikes against Iran following the downing of a helicopter in the Strait of Hormuz, prompting retaliatory attacks from Tehran on US bases across the Gulf region and in Jordan. Despite the latest developments, hopes for a peace deal remained alive. Meanwhile, attention also turns to the ECB’s upcoming decision, adding a note of caution. SAP remained at the bottom of the index, down over 3%. Other top losers included Siemens, Siemens Energy, Beirsdorf and Merck, shedding more than 1% each. On the upside, Qiagen NV and Fresenius CO & SE led gains, rising 1.4% and 1.3%, respectively. Adidas shares added 1% after Canadian bank RBC upgraded them from "Sector Perform" to "Outperform."