FX.co ★ DAX 40 Finishes In The Red

The DAX 40 slipped 0.2% to close at 26,006.5 on Monday, ending a three-session winning streak and underperforming other major European indices. Market sentiment was pressured by rising oil prices, expectations of further interest rate increases, ongoing political uncertainty in Europe, and weak German industrial data. Adding to the cautious mood, the strong performance of the AfD in Saxony-Anhalt heightened concerns about political stability and the potential complications this may pose for Chancellor Merz’s economic reform plans. In monetary policy, the ECB is widely expected to raise its key interest rate by 25 basis points to 2.5% at its meeting on Thursday. At the stock level, Qiagen NV led the decliners with a 2.9% drop, followed by Munchener Ruck, Hannover Ruck, SAP and Rheinmetall, which lost between 1.3% and 2.7%. Rate-sensitive real estate group Vonovia fell 2.2%, further pressured by a Goldman Sachs downgrade from “Buy” to “Neutral.” On the upside, Infineon Technologies surged 6.8%, supported by strong investor demand for semiconductor stocks and a positive recommendation from Warburg Research.