FX.co ★ DAX at Over 2-Month Lows

Frankfurt's DAX 40 extended its sharp losses on Tuesday, sliding more than 2% to around 24,000, its lowest level since mid-December 2025, as geopolitical risks intensified. Investors assessed the likelihood of a protracted conflict in the Middle East after US President Donald Trump suggested that the attacks could persist for four to five weeks, or even longer. This development deepened concerns about a potential energy crisis, which is expected to further fuel inflation and could lead the ECB and the Federal Reserve to adopt a more cautious policy stance. On the corporate front, Beiersdorf shares tumbled more than 14% after the company signaled a weaker outlook for 2026, citing higher costs and foreign exchange headwinds. Utilities, financials, and technology stocks also came under heavy selling pressure.