The DAX index lost its early gains and closed slightly below 19,100. This decline mirrored other European stock markets as tensions between Russia and Ukraine escalated. Investors moved away from riskier assets after reports that Ukraine fired UK-supplied Storm Shadow missiles into Russian territory for the first time since the war began in 2022.
NATO on Alert as Ukraine Launches US Missiles
Earlier that same day, Ukraine had also launched US-made ATACMS missiles. In response, Russia broadened its conditions for using nuclear weapons, raising fears of a larger conflict that might involve NATO.
The automotive sector suffered the most, with Mercedes-Benz, Volkswagen, and Porsche shares falling between 1.4% and 3.3%. The healthcare sector was also under pressure, as Bayer and Fresenius each dropped by 2%.
However, the technology sector performed well ahead of Nvidia’s earnings report, which was due overnight. Companies like SAP, Infineon, and Zalando saw their stock prices rise.
J.J Edwards is a finance expert with 15+ years in forex, hedge funds, trading systems, and market analysis.
