A broad sell-off on the Frankfurt Stock Exchange has been avoided for now following the collapse of US-Iran peace talks. The Dax opened one percent lower on Monday, trading at 23,562.19 points. "Many investors are likely hoping for a resumption of negotiations, as the ceasefire remains in effect until next Tuesday," commented Jochen Stanzl, chief market analyst at Consorsbank.

According to experts, the return of oil prices above the 100-dollar mark underscores the underlying market jitters. On Sunday, US President Donald Trump announced plans to block shipping traffic to and from Iranian ports in the Strait of Hormuz. "This could lead to a fresh escalation in the Middle East and bring regional shipping to a complete standstill," said Andreas Lipkow of broker CMC Markets.

Investors primarily offloaded shares in energy-intensive sectors such as technology, transport, and industrials. Lufthansa shares came under even greater pressure, shedding more than four percent. The pilots' union Vereinigung Cockpit (VC) expects hundreds of daily flight cancellations during the strike at Germany's flagship carrier scheduled for Monday and Tuesday.

(Report by Sanne Schimanski, edited by Ralf Banser. For inquiries, please contact our editorial office at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)