DAX Drops to Nearly Two-Month Low

Frankfurt's DAX closed 1.2% lower at 24,823 on Thursday, reaching it lowest level in almost two months, amid elevated energy prices and persistent concerns over Europe's fiscal outlook. High sovereign yields due to French concerns continue to pressure banks and financials. Deutsch Bank fell 0.7%, while Commerzbank declined 2.4% as Germany’s finance minister said he was coordinating with counterparts on UniCredit’s takeover bid for the German lender. Tech and industrials were also under pressure, with Infineon down 3.4% and Siemens falling 2.6%. Automakers fell as European buyers continue to shift toward electric vehicles amid higher fuel prices, with Volkswagen down 4.5%. BMW (2.8%) and Mercedes Benz (2%) also fell. On the upside, defense Rheinmetall (0.9%) advanced while British Premier Burnham stated the UK would be open to Germany joining a partnershipto develop a new fighter jet alongside other countries. E.ON rose 0.4% after reporting its successful acquisition of OVO in the UK.