Frankfurt’s DAX 40 closed about 2.4% higher at 23,935 on Tuesday, rebounding from the three-month lows hit in the previous session and tracking gains across other major European indices. Sentiment improved on optimism that tensions in the Middle East may ease following comments by President Trump, which pushed oil prices lower and helped temper inflation concerns. Even so, risks to oil shipments through the Strait of Hormuz persisted.
All sectors advanced, with technology and financials leading the gains. Among the top performers were Siemens Energy, up 6.4%, and Infineon Technologies, up 6.1%. Banks and insurers also posted solid increases, with Commerzbank, Deutsche Bank, and Allianz rising between 3.4% and 4.5%. Industrial heavyweight Siemens climbed 5.4%. Volkswagen gained 3.2% after stating it expects profitability to recover this year following a difficult 2025. Meanwhile, Lufthansa shares, which had been heavily pressured by concerns over elevated fuel costs, rose 4% in the MDAX.
