The DAX Index Closes 1.04% Higher

The DAX Index rose 262 points or 1.04 percent on Monday to close at 25361 points. Leading the gains are SAP (7.90%), Zalando (4.12%) and Adidas (3.48%).

The DAX 40 rose more than 1% to above 25,400 on Monday, the highest in nearly three weeks, as improving US-Iran relations, weaker oil prices and falling bond yields boosted investor sentiment. The decline in energy prices eased inflation concerns and reduced expectations for additional monetary tightening ahead of a busy week of central bank decisions and major technology earnings. SAP led the gains, jumping more than 7% after launching the second phase of its €10 billion share buyback programme and extending the positive momentum following stronger-than-expected second-quarter results. Deutsche Telekom (+2.6%) and Rheinmetall (+1.3%) also gained. In contrast, Infineon dropped 4.5% after ASML shares declined following reports that a Chinese state-backed company is developing chipmaking equipment that could challenge its market position. Lower energy prices weighed on Siemens Energy (-2%) and E.ON (-2.5%).

Frankfurt's DAX 40 rose more than 1% to 25,440 on Monday, extending last week's 1.1% gain, as easing US-Iran tensions and lower oil and bond yields lifted risk sentiment ahead of a busy week of central bank meetings and earnings from major technology companies. Brent crude retreated from two-month highs, easing inflation concerns and prompting investors to scale back expectations for further policy tightening. Travel stocks led the gains on hopes that lower fuel costs will support margins and consumer spending, with Lufthansa jumping more than 3%. Chipmaker Infineon added 0.9% after the strong stock market debut of Chinese semiconductor firm CXMT, while construction group Hochtief fell 2.3% ahead of its quarterly earnings release after the close. Investors now await policy decisions from the US Federal Reserve and the Bank of England later this week, along with a fresh batch of European inflation data, for further clues on the interest rate outlook.