The DAX 40 fell more than 1% to around 24,860 on Wednesday, following modest gains in the previous two sessions, underperforming its regional peers. Investors kept a close eye on the earnings season but remained cautious amid ongoing tensions in the Middle East. President Trump's decision to backtrack on a proposed 20% tax on goods transiting the Strait of Hormuz did little to ease concerns after Tehran said the waterway would remain closed until US aggression ends.