24.06.202616:07:47UTC+00DAX Falls for 2nd Day

The DAX 40 fell about 0.7% to close at 24,716 on Wednesday, extending the previous session’s losses as defense stocks weighed on the index and investors awaited Micron’s quarterly results for guidance on the semiconductor outlook. Market participants also monitored developments in US–Iran negotiations, with reports of improved traffic through the Strait of Hormuz providing some reassurance.

Rheinmetall slumped more than 18%—its steepest decline on record—after the Merz government confirmed it would cancel the purchase of six F126 anti-submarine frigates. The €15.2 billion program had been set to become the largest procurement project in the history of the German Navy. Other defense names were also under pressure, with Renk down 7.9% and Hensoldt off 4.3%. In contrast, Berlin now plans to acquire eight Meko frigates from TKMS, sending TKMS shares more than 15% higher.

Elsewhere, MTU Aero Engines gained over 5% after JPMorgan reiterated its “Buy” rating on the stock.