Around the World's Markets: Frankfurt

THE DAX INDEX fell for the second day running. The index closed down 24.40 points, or 0.43 per cent, at 5,588.50 points.

The fall was driven by a 4.9 per cent drop in business software maker SAP ahead of the company's first-half earnings. But traders said downside potential was limited after the market's recent rise to fresh year highs.

The overall market was seen nearing resistance. "I think resistance will be at about 5,500 points," said one trader.