DAX 40 Finishes In The Red

The DAX 40 closed about 0.2% down at 26,006.5 on Monday, halting a three-day winning streak and lagging its regional peers. Sentiment was weighed down by rising oil prices, expectations of higher interest rates, political uncertainty in Europe and weak German industrial data. The AfD’s strong showing in Saxony-Anhalt raised concerns over political stability and could complicate Chancellor Merz’s economic reform agenda. Meanwhile, the ECB is widely expected to deliver a 25-bps hike to 2.5% on Thursday. Among individual stocks, Qiagen NV led losses, dropping 2.9%, followed by Munchener Ruck, Hannover Ruck, SAP and Rheinmetall, falling between 1.3% and 2.7%. Rate-sensitive Vonovia fell 2.2%, with Goldman Sachs also downgrading the stock from "Buy" to "Neutral". On the upside, Infineon Technologies soared 6.8%, supported by strong demand for semiconductor stocks and a favorable recommendation from Warburg Research.

The DAX Index fell 40 points or 0.15 percent on Monday to close at 26007 points. Leading the losses are Munich RE (-2.88%), Qiagen NV (-2.79%) and Hannover Rueck (-2.69%). Top gainers were Infineon (6.40%), RWE (1.82%) and Commerzbank (1.64%).

The DAX 40 edged down 0.3% to around 25,960 on Monday, as investors remained cautious amid escalating Middle East tensions and ahead of this week’s key ECB decision. Markets also digested the implications of the AfD’s victory in Saxony-Anhalt, which dealt a major blow to Chancellor Friedrich Merz’s CDU. Meanwhile, the ECB is widely expected to raise rates by 25 bps to 2.5% on Thursday. With Eurozone inflation already above 3% and well above the ECB’s 2% target, the bigger market question is whether Christine Lagarde signals that further tightening could be needed. Qiagen NV and SAP posted the biggest losses among stocks, falling 2.7% and 2.5%, respectively. Vonovia dropped 2% after Goldman Sachs cut its rating from Buy to Neutral and slashed its price target from €29.50 to €21.20, signaling a more cautious view on the property group’s outlook. On the flip side, chipmaker Infineon Technologies (3.2%) and AI-related stocks Siemens Energy (2.3%) and Hochtief (2%) stood out.