FINWIRES · TerminalLIVE
FINWIRES

Germany's DAX Extends Rally on US-Iran Deal Hopes; Delivery Hero Jumps

By

The German blue-chip DAX index extended its gains at the start of a new trading week, closing 2.01% higher on Monday, buoyed by US-Iran deal optimism.

Speaking in Tehran, Iranian Foreign Ministry Spokesperson Esmail Baqai acknowledged media reports of progress in talks with the US, saying the parties have "reached a conclusion on a large portion of the issues under discussion," but cautioned that an agreement is not "imminent." Earlier, US Secretary of State Marco Rubio issued a similar cautionary statement in New Delhi, India, telling reporters not to "read too much into it." Rubio's comments followed US President Donald Trump's directive to negotiators not to rush the process.

"We've been at this stage before, only for talks to break down. Therefore, the market will likely be more cautious about overreacting to these headlines. There also appears to have been some tempering of optimism. Trump has since said he's in no 'rush' for a deal and that it 'isn't even fully negotiated yet'. The US suggests that any final deal could take several days. Meanwhile, local Iranian media claims that the US is still blocking some key Iranian demands. Obviously, the big unknown is how the US and Iran will resolve their differences on Iran's nuclear programme," ING analysts said.

Still, the news of a potential deal sent oil prices lower, with the Brent crude futures down nearly 6% to $98 a barrel, which in turn fueled a rally in the European travel and leisure sector. Aircraft engine manufacturer MTU Aero Engines (MTX.F) was DAX's top-performing stock at 6.11% in the green, while Airbus' (AIR.F) German stock gained 2.79%.

Back in Europe, market watchers are awaiting key data this week, including the euro area's latest consumer confidence report on Thursday and preliminary May inflation print in Germany and the wider eurozone due on Friday. Germany's April import prices and May unemployment figures will also be released on Friday.

In corporate news, Delivery Hero (DHER.F) surged 11.94% on Xetra, after London's Financial Times reported that Uber is considering raising its takeover offer for the German online food delivery company. Citing three people familiar with the matter, the report noted that Uber's board discussed a higher offer after a major shareholder rejected a 38-euro-per-share bid, equivalent to a valuation of more than 11.5 billion euros. Delivery Hero confirmed a baseline proposal of 33 euros per share in a May 23 release.

Related Articles

Asia Markets

UAE Shares Close Higher Ahead of Eid Holidays as US-Iran Deal Hopes Lift Sentiment

Stocks in the United Arab Emirates are heading into the holidays on a positive note, buoyed by optimism of a potential agreement between the US and Iran.At the close of Monday trading, the FTSE ADX General Index added 0.453%, while the DFM General Index was up 1.136%. The bourses will remain closed from Tuesday until Friday in observance of Eid Al Adha holidays.US President Donald Trump said in a social media post that talks with Iran are moving forward in an "orderly and constructive" manner and that he directed his representatives not to rush into a deal. Trump also stated that the Strait of Hormuz blockade will remain in place until an agreement is signed.Meanwhile, Iranian Foreign Ministry spokesman Esmaeil Baghaei said that a framework was reached with the US on certain issues, but it does not mean that a deal is imminent."We've been at this stage before, only for talks to break down. Therefore, the market will likely be more cautious about overreacting to these headlines," ING said. "The US suggests that any final deal could take several days. Meanwhile, local Iranian media claims that the US is still blocking some key Iranian demands. Obviously, the big unknown is how the US and Iran will resolve their differences on Iran's nuclear programme."Back home, Abu Dhabi National Oil Co, or Adnoc, was reportedly involved in the transport of oil and gas shipments through the Strait of Hormuz by switching off its vessels' transponders, Bloomberg News reported.Amid a quiet day on the corporate side, FAB Securities reiterated Adnoc Gas' (ADX:ADNOCGAS) buy rating with a price target of 4.30 Emirati dirhams after the natural gas distribution company's decline in its first-quarter net attributable profit exceeded the financial services firm's estimate. Its shares closed the session 2.39% higher.Over in Dubai, Sukoon Insurance (DFM:SUKOON) launched a new platform enabling its customers to navigate products and access claims information in a matter of minutes. Shares of the insurance company ended the session flat when it last traded on April 21.

$^DFMGI$^FADGI$ADX:ADNOCGAS$DFM:SUKOON
Asia Markets

US Equity Indexes Rise, Crude Oil Off Session Highs as Iran Peace Talks Press Ahead

US equity indexes rose as pressure on government bond yields eased and crude oil retreated from intraday highs amid intense diplomacy to reach a deal with Iran.The Nasdaq Composite rose 0.2% to 26,343.97, with the S&P 500 up 0.4% to 7,473.47 and the Dow Jones Industrial Average higher by 0.6% to 50,579.70. The Dow hit an all-time high of 50,830.24, according to data compiled by CNBC.Iran said peace negotiations with the US face "deep and significant" differences, and it's difficult to say if a deal can be reached over the next "weeks or months," Al Jazeera reported Friday.A Qatari negotiating team arrived in Tehran on Friday in coordination with the US to help secure a deal to end the war, Reuters reported, citing a source with knowledge of the matter. Pakistan's army chief Asim Munir is headed to Tehran to help mediate a settlement, Al Jazeera reported Friday.While there are "good signs" that an agreement to end the conflict is in sight, any deal would be "unfeasible" if Iran pursues measures to permanently control the Strait of Hormuz, US Secretary of State Marco Rubio said on Thursday, according to CNBC. The US plans to seize Tehran's stockpile of enriched uranium as part of peace negotiations, President Donald Trump reportedly said Thursday.West Texas Intermediate crude oil futures rose 0.1% to $96.44, and Brent crude futures climbed 0.9% to $103.54. The WTI and Brent futures traded more than 3% higher earlier in the day.US Treasury yields were mixed, with the 10-year down 2.6 basis points to 4.56% and the 30-year down 4.7 basis points to 5.06%. The two-year yield, however, rose 3.6 basis points to 4.12%.In economic news, the Conference Board's measure of leading indicators rose by 0.1% in April following a 0.6% decrease in March.The University of Michigan consumer sentiment index was revised down to 44.8 for May from a preliminary reading of 48.2, compared with expectations for no revision in a Bloomberg-compiled survey and a drop from the final 49.8 in April.Respondents in the Michigan survey expected a 4.8% inflation rate over the next year and 3.9% annual inflation over the next five years, up from 4.7% and 3.5%, respectively, in April.In company news, Dell Technologies (DELL) shares jumped 17%, the top gainer on the S&P 500, after Wells Fargo raised its price target to $270 from $180.Take-Two Interactive Software (TTWO) reported a narrower fiscal Q4 net loss as revenue increased. MoffettNathanson adjusted its price target on the company's shares to $196 from $206 while maintaining its neutral rating. Take-Two shares slumped 4.4%, the second-steepest decline on the Nasdaq.Merck (MRK) said Friday the European Medicines Agency's Committee for Medicinal Products for Human Use has recommended the approval of Keytruda, in combination with Padcev, to treat a type of bladder cancer. Shares of Merck jumped 5.6%, the Dow's top performer.

$^DJI$^IXIC$^SPX$DELL$MRK$TTWO
Asia Markets

US Equity Indexes Rise This Week as Crude Oil Drops Amid Hopes of Iran Peace Deal

US equity indexes rose this week after crude oil prices declined and Iran peace talks progressed, helping restrain a surge in government bond yields.* The S&P 500 closed at 7,473.47 on Friday versus 7,408.50 a week ago. The Nasdaq Composite stood at 26,343.97, compared with 26,225.15 a week earlier. The Dow Jones Industrial Average ended at 50,579.70, versus 49,526.17 at the end of last week.* Utilities, health care, and real estate led the gainers this week, according to data compiled by Finviz. The communication services sector was the steepest decliner.* A Qatari negotiating team arrived in Tehran on Friday in coordination with the US to help secure a deal to end the war, Reuters reported, citing a source with knowledge of the matter. Pakistan's army chief Asim Munir is headed to Tehran to help mediate a settlement, Al Jazeera reported Friday.* While there are "good signs" that an agreement to end the conflict is in sight, any deal would be "unfeasible" if Iran pursues measures to permanently control the Strait of Hormuz, US Secretary of State Marco Rubio said on Thursday, according to CNBC. The US plans to seize Tehran's stockpile of enriched uranium as part of peace negotiations, President Donald Trump reportedly said Thursday.* West Texas Intermediate crude oil futures traded below $96 a barrel after having started this week at around $107.* The US 30-year Treasury yield, which climbed to as high as 5.18% on Wednesday, the highest since the global financial crisis, traded at around 5.06% on Friday. Similarly, the 10-year yield retreated from its strongest level since January 2025 of 4.67%, headed for a close at around 4.56% on Friday.* A majority of FOMC participants appear to be leaning away from rate cuts for now and were open to the possibility of rate increases, minutes of the April 28-29 meeting released Wednesday showed.

$^DJI$^IXIC$^SPX