The DAX 40 fell 0.3% to around 25,900, hovering at one-month lows and marking the third session of losses. The continued escalation in attacks between the US and Iran put further upward pressure on oil prices, stoking inflation concerns and increasing expectations of tighter monetary policy. European bonds also extended their sell-off, with government bond yields moving higher. Automotive stocks, energy-sensitive industrials and retailers faced heavy selling pressure. Volkswagen was among the top losers, falling 2.1%, following news that will be removed from the EuroStoxx 50 index on September 21. Shares of BMW and Mercedes-Benz Group declined more than 1% each.