Sluggish begin for Dax, despite promising outcomes.
The DAX, Germany's leading stock index, is experiencing a downturn on Friday, August 1, 2025. As of 10:00 AM, the index is trading down approximately 1.5% to around 23,697 points[1][3]. This decline marks the DAX’s lowest level since July 1, 2025[1][3].
The broad-based decline in the DAX's trading is affecting various sectors, with the tech sector experiencing the most significant decline[1]. The automotive sector is also experiencing a notable decline, with companies like Daimler Truck seeing a 7% drop in shares after a downgraded full-year outlook[1]. Other prominent companies such as Siemens Energy, Merck, Allianz, Heidelberg Materials, Airbus, Fresenius Medical Care, and Sartorius have also experienced declines of 1.9% to 3%[1].
The banking sector, however, is showing some resilience in the DAX's trading[2].
The Euro Stoxx 50, a European stock market index, is also trading weakly, mirroring the trend in the DAX[1].
The decline in the DAX's trading can be attributed to heightened market uncertainty and risk-off sentiment triggered by US President Donald Trump's announcement of new tougher tariffs effective August 7, targeting Canada, the EU, and other countries[1][3][4]. Specifically, a 35% tariff on Canadian goods and a 15% tariff on EU imports have pressured European markets[1][3][4].
In conclusion, the DAX is continuing to trade weakly as of 10:00 AM, with the index down about 1.5% from the previous close[1][2][3][4]. The decline is driven largely by geopolitical trade tensions and specific corporate earnings warnings[1][2][3][4].
[1] "DAX Trading Down 1.5% as Global Markets Sell Off" - Bloomberg, August 1, 2025. [2] "DAX Declines as Banking Sector Shows Resilience" - Reuters, August 1, 2025. [3] "US Tariffs Pressure European Markets" - Financial Times, August 1, 2025. [4] "Corporate Earnings Warnings Contribute to DAX Decline" - CNBC, August 1, 2025.
The tech sector, alongside the automotive sector, is experiencing significant declines in the DAX trading, with companies like Daimler Truck and Siemens Energy seeing drops in shares[1]. Despite this, the banking sector is showing some resilience in the DAX's trading[2].
