Markets 3 min read 5h ago · Updated August 25, 2026 at 00:44 UTC

DAX Edges Lower as Nvidia Results and US Inflation Loom

The DAX closed 0.1% lower at 26,106 points on Monday, having lost more than 1% across the previous week, as investors held back ahead of key market events.
Nvidia's quarterly results, due Wednesday after market close, are being watched as a bellwether for AI chip demand, with Consorsbank's chief analyst expecting a strong but
Volkswagen shares fell further as extraordinary works council meetings began, with factory closures and significant job cuts still unresolved amid a near-third loss in market

Germany's DAX index began the new week on a cautious note, slipping 0.1 per cent to close at 26,106 points on Monday as investors declined to take on fresh risk ahead of a series of high-stakes events. The index had ended the previous Friday session at 26,136 points, gaining 0.6 per cent on the day, but recorded a weekly loss of more than one per cent overall.

Mixed Open Across the Atlantic

US markets opened on divergent paths. The Dow Jones industrials managed a modest early gain, while the technology-heavy Nasdaq fell by around one per cent. Two unresolved pressures weighed on sentiment: the ongoing Iran conflict and a fresh escalation in trade tariffs directed at Canada. The breakdown in US-Canada trade talks has added to uncertainty at a moment when markets are already navigating a complicated macro backdrop.

All Eyes on Nvidia

The dominant event on the week's calendar is Nvidia's quarterly earnings release, scheduled for after Wednesday's market close. The AI chipmaker's results are regarded as a key gauge of demand across the broader artificial intelligence supply chain, and their outcome is widely considered capable of moving equity markets significantly. AI-linked stocks in Frankfurt, including Siemens Energy and Infineon, were already under pressure on Monday ahead of the announcement.

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Jochen Stanzl, chief analyst at Consorsbank, expressed confidence that a strong result was the more likely outcome. "Most of Nvidia's customers have already reported quarterly figures, and everything points to another spectacular set of results," he said. However, he cautioned that the central question had shifted: it was no longer whether Nvidia would deliver, "but rather how the increasingly demanding market will react."

Bond Yields Add to Unease

Rising bond yields are compounding market anxiety. The high capital requirements associated with AI investment, alongside concerns over elevated sovereign debt levels, have contributed to a recent upward drift in yields — a dynamic that has been flagged as a warning signal by market participants. Higher borrowing costs increase the debt-servicing burden on governments and make credit more expensive for consumers and businesses alike.

Investors are also awaiting Wednesday's release of US personal consumption expenditure data, the Federal Reserve's preferred measure of inflation, ahead of the Jackson Hole symposium running from Thursday to Saturday. The gathering of central bankers, economists, and financial policymakers is being watched closely for guidance on monetary policy under the Fed's new chairman, Kevin Warsh.

Volkswagen Faces Reckoning

Within the DAX, Volkswagen's shares came under additional selling pressure as a series of extraordinary works council meetings began at the company. Employees are pressing management for specifics on restructuring plans that include the possibility of factory closures and substantial job reductions. VW has shed almost a third of its stock market value since the start of the year. Management is pursuing cost cuts, restructuring, and headcount reductions in an effort to restore competitiveness in what it describes as a difficult industry environment. The scope of any workforce reductions, and whether plant closures will proceed, remains unresolved.

##DAX ##Nvidia ##Volkswagen

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