Following a slight increase in early trading, the German market’s benchmark index DAX fell into negative territory on Tuesday morning, reflecting apprehensions regarding the potential effects of U.S. tariffs on global trade. U.S. President Donald Trump, who threatened 100% tariffs on Canadian goods if Canada strikes a trade deal with China, has announced he would raise tariffs on South Korean imports to 25% due to a delay in the South Korean Legislature approving a trade deal with the U.S. Investors Additionally, attention was directed towards the forthcoming monetary policy announcement from the Federal Reserve scheduled for Wednesday, along with the anticipated major earnings reports from U.S. technology firms.

The DAX, having reached a peak of 25,023.13 earlier, experienced a decline of 20.17 points, or 0.08%, settling at 24,930.13 just before noon. Automakers experienced a general decline following the successful conclusion of a Free Trade Agreement between India and the European Union, which reduced tariffs on cars from 110% to 10% for an annual quota of 250,000 vehicles.

• Porsche Automobil Holding, Volkswagen, and Mercedes-Benz experienced declines ranging from 0.9% to 1.2%.
• BMW and Daimler Truck Holding experienced declines of 0.6% and 0.3%, respectively.
• Continental Holdings Corporation exhibited signs of weakness as well.
• GEA Group experienced a decline of 2%, while BASF saw a decrease of 1.7%.
• Bayer experienced a decline of approximately 1.2%, whereas SAP saw a decrease of nearly 1%.
• Henkel, Qiagen, Siemens Healthineers, Vonovia, and Beiersdorf experienced a decline.

Fresenius experienced an increase of 1.85%. Commerzbank experienced an increase of 1.2%, while Deutsche Telekom saw an advancement of 1%. Munich RE, Zalando, Scout24, MTU Aero Engines, and Rheinmetall experienced increases ranging from 0.5% to 0.8%.