The DAX 40 settled about 2.4% lower at 24,866 on Wednesday, the biggest daily decline since March 19, as rising tensions in the Middle East fueled risk aversion. US President Trump said at the NATO summit in Ankara that the ceasefire with Iran had collapsed, following mutual attacks and the launch of Iranian missiles at Bahrain. He added that US would "probably strike the country again hard tonight". Oil prices subsequently rose sharply, reigniting concerns about inflation, economic weakness, and interest rate hikes from central banks. At the same time, traders continued reducing exposure to semiconductor and AI-related stocks amid growing concerns over high valuations. Losses were broad-based, with banks, financials, autos, consumer discretionary and industrials maong the hardest hit.