The German DAX index opened in negative territory on Wednesday, shedding gains from the previous session as investors positioned ahead of the Federal Reserve’s policy decision later this week.
The benchmark index, which had closed slightly higher on Tuesday at 24,910 points, faced selling pressure in early trading as market participants weighed the dual headwinds of US monetary policy uncertainty and lingering geopolitical friction.
3% to 24,956 points, buoyed by relief following a framework agreement between the United States and Iran aimed at de-escalating the ongoing conflict.
The decline follows a volatile week for European equities.
On Monday, the DAX had surged 1.3% to 24,956 points, buoyed by relief following a framework agreement between the United States and Iran aimed at de-escalating the ongoing conflict.
However, that optimism proved short-lived.
By Tuesday, the index had opened under pressure, trading below the psychologically significant 25,000-point mark as investors digested a sharp rebound in oil prices driven by the same regional tensions.