FX.co ★ DAX in the Red

On Wednesday, Frankfurt's DAX index fell nearly 1% to approximately 24,200, retreating from recent one-month highs. This decline was predominantly influenced by a renewed downturn in defense stocks. Notably, companies such as Rheinmetall, Renk, and Hensoldt each experienced losses exceeding 1% due to ongoing U.S. diplomatic efforts to mediate an end to the Ukrainian conflict. In terms of domestic economic indicators, German producer prices decreased by 1.5% year-on-year in July 2025, following a 1.3% reduction in June, surpassing the anticipated 1.3% decrease. This marks the fifth consecutive month of declines and represents the steepest annual decrease since June 2024.