The Dutch will face England in the semis.
Musiala and Gundogan help Germany to 2-0 win over Hungary.
The 20-year-old lived up to the hype as his influential performance ensured England started their campaign with a win.
Denmark will play England in their second Group C game in Frankfurt on Thursday.
Morata, Ruiz and Carvajal star for the Spanish team.
Germany play Scotland in the opening game in Munich.