The DAX 40 slipped into negative territory on Wednesday, falling 0.7% to around 24,200, as persistent concerns over stretched AI-related valuations and ongoing tensions in the Middle East kept investors cautious ahead of key US inflation data.
On the geopolitical front, US forces carried out strikes against Iran following the downing of a helicopter in the Strait of Hormuz, prompting retaliatory attacks by Tehran on US bases across the Gulf region and in Jordan. Despite these escalations, hopes for a peace agreement remained intact.
At the same time, investors are also looking ahead to the European Central Bank’s upcoming policy decision, adding another layer of uncertainty to the market backdrop.
SAP was the weakest performer on the index, falling more than 3%. Other major decliners included Siemens, Siemens Energy, Beiersdorf, and Merck, each losing over 1%. On the upside, Qiagen NV and Fresenius SE & Co. KGaA led the gains, rising 1.4% and 1.3%, respectively. Adidas shares advanced 1% after Canadian bank RBC upgraded the stock from “Sector Perform” to “Outperform.”
