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DAX 40 slips 0.4% to around 26,140 on September jitters

The DAX 40 fell 0.4% to around 26,140, its lowest since August 24. Investors weighed risks of prolonged US-Iran conflict and rising oil, while ECB-related rate-hike expectations drew attention.

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The DAX 40 fell 0.4% to around 26,140 on Tuesday, the lowest since August 24, as September began with investors wary that a prolonged US-Iran conflict could fuel energy-driven inflation and prompt tighter monetary policy.

Oil prices continued to rise on the back of flared-up hostilities in the Middle East, with traders increasingly pricing in interest rate hikes by major central banks.

Eurozone flash inflation figures are expected to reinforce expectations for near-term rate hikes by the ECB.

Sectorally, energy-sensitive industrials, banks and autos were the hardest hit.

Software giant SAP led losses among stocks, slipping 2.5%.