Infineon Leads DAX Recovery as Hochtief Joins the Bench and Index Hovers Near Record

DAX shook off early dip below 25,000, closed up 0.5% at 25,139, driven by Infineon's 4.5% rally and HOCHTIEF's debut, with bullish technicals and falling oil volatility.

The German blue-chip index shook off an early stumble to finish the session firmly in the black, driven by a powerful rally in semiconductor stocks and the successful debut of a new heavyweight. Bargain hunters moved swiftly after the DAX slipped below the psychologically important 25,000 mark, pushing it back into positive territory by the close.

Infineon stole the show, its shares surging 4.5% on heavy trading volumes. The catalyst came from Asia, where South Korea’s SK Hynix overtook Samsung to become the country’s most valuable company, sending a wave of optimism across the global chip sector. Infineon’s advance brings it within striking distance of the all-time high it set back in 2000, reigniting speculation about further upside.

Making its first appearance in the prime index, construction group HOCHTIEF rose just over 2% on Monday. The company replaces Porsche Automobil Holding SE following a strong operational performance; net profit jumped 30% in the first quarter to €217 million, justifying the promotion and earning a warm welcome from investors.

Not everything went the DAX’s way. SAP entered its quiet period ahead of quarterly earnings, dragging the software heavyweight down by around 1% and capping the broader advance. Meanwhile, Zalando bucked the trend with a gain of more than 4%, while Scout24 and Deutsche Telekom each slid roughly 3%, leaving the index with a mixed sectoral picture.

From a technical standpoint, the recovery looks comfortable. The DAX closed at 25,139 — a gain of roughly half a percent — and continues to trade well above its 50-day moving average of 24,537. The relative strength index sits at a solid 59, reinforcing the bullish narrative. As long as the 25,000 support level holds, chart watchers see the path of least resistance pointing higher. The next target is the all-time high of around 25,507 recorded in January.

Adding to the calmer mood, oil prices tumbled roughly 4% for both Brent and WTI crudes, helping to cool volatility. The VDAX-NEW, often described as the market’s fear gauge, retreated to 16 points, a sign that anxiety is fading after last week’s turbulence. With US markets returning from a long weekend, traders expect fresh directional cues from Wall Street later in the week.

Geopolitics also remain in focus. Investors are keeping a close watch on US–Iran negotiations, while on the domestic front, Germany’s financial regulator BaFin is hosting its capital markets conference in Frankfurt on 23 June. At the same time, the annual Day of Industry in Berlin will feature speeches from Chancellor Friedrich Merz and Economy Minister Katherina Reiche, offering additional policy signals for the market to digest.

For now, the DAX has regained its footing after the early scare, and the combination of a supportive technical backdrop, a strong semiconductor tailwind, and a fresh index composition is giving bulls confidence to aim for fresh highs.