The DAX Index Opens 0.59% Higher

The DAX 40 edged up to cross the 25,000 mark on Thursday, the highest since early June and extending gains for the sixth successive session. Signs of progress toward ending the Iran war outweighed concerns about the hawkish tone from the US Federal Reserve. The US and Iran signed an interim peace agreement that extends a ceasefire announced in April by another 60 days, to allow the two sides to negotiate a final truce. A cornerstone of the agreement is the full resumption of shipping through the Strait of Hormuz, free from any additional charges, which prompted a fresh pullback in oil prices. Meanwhile, the Federal Reserve left interest rates unchanged, but new Fed Chair Kevin Warsh signaled that a rate hike could be considered if inflationary pressures persist. Techs and energy-sensitive industrials were the standout performers. Infineon Technologies led the way, climbing over 4%. It was followed by Airbus (2.6%), Siemens Energy (2.2%), Siemens (1.4%) and Rheinmetall (0.9%).

The DAX Index is up by 146 points or 0.59 percent on Thursday. Top gainers are Infineon (4.06%), Airbus (2.75%) and Siemens Energy (2.36%). Biggest losses came from Scout24 (-4.06%), BMW (-1.67%) and Mercedes-Benz AG (-1.64%).

The DAX 40 ended marginally higher at 24,932 on Wednesday after a volatile session, its highest in nearly two weeks and marking a fifth straight gain. Market sentiment remained supported by optimism over a US-Iran interim peace deal, despite renewed threats from President Donald Trump toward Iran. Meanwhile, traders turned more cautious ahead of the Fed's policy announcement. While the US central bank is widely expected to hold rates steady, remarks from new Fed Chair Kevin Warsh will be closely scrutinized for clues on the policy outlook. Banks were the standout performers, with Commerzbank and Deutsche Bank surging 4.9% and 2.3%, respectively. Other top gainers included Bayer, Heidelberg Materials, Siemens Energy, Zalando and Rheinmetall, which rose between 2.2% and 4.4%. On the other hand, the profit warning from BMW weighed on the entire automotive sector.