DAX Slides as Global Tensions and AI Concerns Weigh on Markets

The DAX initially rose to 25,197.25 before slipping into negative territory on Friday morning, as escalating tensions between Iran and the United States and concerns over AI valuations dampened investor sentiment.

By mid-morning the index had fallen to 25,055.82 and was last quoted at 25,091.09, down 13.03 points, or 0.05%, from the previous close.

Infineon Technologies fell about 2.5%, with Rheinmetall dropping 2.3% and both Siemens Energy and Bayer declining 1.9% and 1.7%, respectively.

Other notable decliners included Volkswagen, Siemens, Deutsche Boerse, Adidas, Hochtief, Qiagen and Scout24, each losing between 0.4% and 1%.

Conversely, Deutsche Telekom rose 2.5% after a rating upgrade by JP Morgan, while Heidelberg Materials gained nearly 2%.

Merck, Vonovia, Beiersdorf, Deutsche Bank, Fresenius, Brenntag, Commerzbank, Munich RE and Continental each edged up 0.7% to 1.3%.

Destatis released final June data showing inflation easing to a four‑month low, with consumer price growth slowing to 2.3% from May’s 2.6%.

Core inflation, which excludes food and energy prices, held steady at 2.5% in June.

On a monthly basis, consumer prices fell 0.3% in June after a 0.2% decline in May, while the harmonized index of consumer prices slipped 0.2% following a 0.1% drop, both in line with expectations.

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