FX.co ★ DAX Starts the Week on Cautious Note

The DAX 40 traded flat to slightly lower around 26,020 on Monday, reflecting a cautious tone across European markets amid escalating tensions in the Middle East and ahead of a key ECB policy decision later this week. The central bank, led by Christine Lagarde, is widely expected to raise interest rates by 25 bps on Thursday. Eurozone inflation has already moved above 3%, drifting further away from the ECB’s 2% target. At the same time, investors weighed the implications of the AfD’s victory in Saxony-Anhalt, which dealt a significant setback to Chancellor Friedrich Merz’s CDU and stoked concerns about political stability. On the corporate front, Qiagen NV and Vonovia were the worst performers, each falling more than 2%. In contrast, chipmaker Infineon Technologies climbed 3.2%, while AI-related names Siemens Energy and Hochtief gained 2.3% and 2%, respectively.