The DAX climbed to a new all-time high of 25,900 points on Monday before retreating by the close.
The German benchmark index surpassed the previous record by 74 points early on Monday. It closed at 25,818 points, little changed from Friday.
Defense stocks drove trading. Rheinmetall rose 3.4 percent, while Renk and other mid-cap names gained up to 11.1 percent. Reasons included stalled US-led Russia-Ukraine peace talks and upcoming NATO investments.
Institutional investors had already positioned for gains, while private investors were surprised. Sentiment improved, yet future expectations dipped slightly.
