DAX Slumps to Lowest Since July Amid Rising Oil Prices

The Frankfurt DAX 40 index closed at its lowest level since July 23, down about 1% to 24,939 on Thursday. Rising oil prices and high bond yields put pressure on the market.

The Middle East conflict remains a pressing concern, with diplomatic efforts stalled. This uncertainty has been affecting the global economy, including major European economies, where inflation is accelerating.

As a result, the European Central Bank (ECB) is under pressure to maintain higher interest rates for longer. This has implications for various sectors, with almost all of them recording declines.

The biggest losers among stocks were Bayer (-5.2%), Volkswagen (-3.4%), Merck (-2.6%), Deutsche Bank (-2.4%), and Fresenius SE & CO (-2.3%). The tech sector also lost momentum, with Infineon Technologies down 0.1%.