FRANKFURT (dpa-AFX) - Investors remained optimistic on Friday despite the ongoing conflict involving Iran. With a 1.15 percent gain to 24,888.56 points, the Dax sealed a very strong week, extending its gains to nearly four percent. However, the psychologically significant 25,000-point threshold proved too high once again, even as the German benchmark index came within 56 points of the round number at its session high. The MDax, which tracks mid-cap stocks, ended the week 0.95 percent higher at 32,108.27 points.

'The market continues to skate on geopolitical thin ice,' commented market analyst Timo Emden, pointing to the stalling negotiations between Iran and the U.S. 'While many market participants no longer believe in an uncontrolled military escalation, a tangible all-clear for the stock markets is likely to remain elusive for the time being.' He added that there is no room for complacency, as new headlines regarding the war remain sufficient to drive prices in either direction in the short term.

Among Friday's positive headlines was a report from Iran stating that 35 vessels had transited the Strait of Hormuz, a critical artery for energy trade, over the past 24 hours. Further tailwinds were provided by surprisingly upbeat economic data from Germany. Despite the conflict, the German economy grew slightly in the first quarter, while the Ifo Business Climate Index rose unexpectedly.

Other indices followed the German market higher. The Eurozone benchmark EuroStoxx 50 gained 0.99 percent to 6,019.45 points. Markets in Switzerland and the UK posted moderate gains. In the U.S., the blue-chip Dow Jones Industrial Average climbed to a record high and was trading 0.8 percent higher at the time of the European close. The tech-heavy Nasdaq 100 saw similar gains.

The global tech rally therefore remained a dominant theme across the broader market. Domestically, Infineon shares achieved their first jump above the 70-euro mark since 2000. An eight percent surge propelled the chipmaker's stock to the top of the Dax once again. Year-to-date, the shares have nearly doubled in value, making them the strongest performer in the benchmark index.

Hot on Infineon's heels were DHL shares, which rose 4.1 percent following a 'buy' recommendation from Deutsche Bank. Analyst Harishankar Ramamoorthy highlighted the company's strength in its Express business. In an uncertain economic and geopolitical environment, the logistics giant is benefiting from self-help measures, a robust network, and exceptional pricing power. The analyst believes the cycle of downward earnings revisions is nearing its end.

The sporting goods sector also saw rising prices, with Adidas climbing three percent and Puma surging 5.5 percent. Market participants pointed to the approaching FIFA World Cup as a catalyst. Puma shares closed a price gap that had opened following disappointing guidance in March 2025. The MDax member has also recently drawn praise for its extensive restructuring efforts.

Conversely, losses were seen in several chemical stocks, which investors had recently viewed as beneficiaries of the Middle East conflict. Consequently, downgrades have begun to mount. JPMorgan and Goldman Sachs both lowered their ratings on Lanxess, sending the shares down 3.3 percent, though they were also trading ex-dividend for a small payout.

Delivery Hero shares continued their impressive rally, drawing significant attention. The food delivery service's winning streak extended to ten days on Friday with a further 1.9 percent gain. Since hitting a record low in March, the share price has more than doubled, fueled by hopes of a strategic turnaround./niw/he

--- By Nicklas Wolf, dpa-AFX ---