Nov. 10 (Bloomberg) -- German stocks climbed for a second day after China announced a $586 billion plan to spur growth in the world's largest developing economy.

ThyssenKrupp AG rallied 8.7 percent as Societe Generale SA upgraded shares of Germany's biggest steelmaker. Deutsche Post AG rose for a second day after Europe's biggest postal service reported third-quarter profit more than doubled and announced plans to widen job cuts in the U.S.

The benchmark DAX Index increased 141.76, or 2.9 percent, to 5,080.22 as of 4:18 p.m. in Frankfurt. DAX futures expiring in December climbed 3.2 percent. The HDAX Index of the country's 110 biggest companies rose 2.8 percent.

``The impulse from China will overshadow local problems a little, it's important that market sentiment improves and on this background China's program was very important,'' said Michael Scholz, an equity strategist at WestLB AG in Dusseldorf. ``We've already seen a lot of negative news in the past two months.''

China joined governments and central banks from Washington and Tokyo to Frankfurt and London by lowering borrowing costs and injecting cash to avert a recession and unlock credit markets. The country accounted for 27 percent of global economic growth last year, according to International Monetary Fund estimates.

The DAX Index is down 37 percent this year on speculation bank bailouts in the U.S. and Europe won't prevent a recession as credit-related losses and writedowns approached $700 billion in the worst financial crisis since the Great Depression.

ThyssenKrupp

ThyssenKrupp rallied 1.22 euros, or 8.7 percent, to 15.19. Societe Generale raised its recommendation on the stock to ``hold'' from ``sell.''

Consumption of the metal may increase as China's government plans to boost investments for housing, infrastructure in rural areas, railways, roads and airports.

Salzgitter AG, Germany's second-largest steelmaker, surged 6.42 euros, or 13 percent, to 54.24. Kloeckner & Co. SE, a steel trader, added 1.08 euros, or 10 percent, to 11.93.

Siemens AG climbed 2.87 euros, or 6.6 percent, to 46.36. Europe's largest engineering company, which sells locomotives in China, has a target to raise sales in the Asian country by about 25 percent a year until 2010, driven by orders for transport and energy equipment.

Deutsche Post gained 70 cents, or 7.4 percent, to 10.05 euros. Net income more than doubled to 805 million euros ($1.04 billion) in the third quarter. The mail carrier plans to extend workforce cuts by 9,500 jobs in a reorganization of unprofitable U.S. express-delivery operations that the company said will lead to a net loss for the year.

BMW

Bayerische Motoren Werke AG, the world's biggest maker of luxury cars, gained 95 cents, or 4.4 percent, to 22.51. Daimler AG, the second-largest, rose 81 cents, or 3.2 percent, to 26.31.

The banks of the two carmakers and Volkswagen AG have agreed to request state guarantees for several billion euros from the government's 500 billion-euro rescue package for the financial industry, Der Spiegel reported on its Web site.

The following stocks also rose or fell in German markets. Symbols are in parentheses. Symbols are in parentheses.

Aixtron AG (AIXA GY) increased 21 cents, or 5.8 percent, to 3.86 euros, snapping a three-day decline. Goldman Sachs Group Inc. lifted its share-price estimate for the equipment maker for the chip industry 20 percent to 3 euros.

Allianz SE (ALV GY) slipped 1.20 euros, or 1.8 percent, to 64.35 euros. Europe's largest insurer may have further writedowns of about 1 billion euros on its equity investments in the fourth quarter, Allianz Chief Financial Officer Helmut Perlet told reporters in a conference call today.

Bilfinger Berger AG (GBF GY) increased 2.58 euros, or 7.2 percent, to 38.65, the steepest advance a week. Germany's second-largest construction company raised its full-year operating profit target after the company's shift to building management and maintenance boosted third-quarter earnings.

Centrotec Sustainable AG (CEV GY) surged 71 cents, or 8.7 percent, to 8.92 euros. The maker of energy-saving boilers raised its full-year revenue and profit forecasts.

CeWe Color Holding AG (CWC GY) slipped 59 cents, or 3.5 percent, to 16.50 euros. Analysts at NordLB downgraded shares of Europe's largest independent photograph developer to ``hold'' from ``buy.''

Colonia Real Estate AG (KBU GY) fell 4 cents, or 1.9 percent, to 2.02 euros. The property investor reported a third- quarter loss after the value of its properties and investments declined. WestLB AG lowered its share-price estimate 44 percent to 5 euros.

Commerzbank AG (CBK GY), Germany's second-largest bank, lost 34 cents, or 4 percent, to 8.10 euros. Dresdner Bank, the lender that Commerzbank agreed to buy, said 650 million euros of asset writedowns contributed to a third-quarter loss.

Jenoptik AG (JEN GY) dropped 18 cents, or 4 percent, to 4.33 euros, the lowest in almost two weeks. Deutsche Bank AG cut its recommendation for Europe's largest maker of traffic cameras to ``sell'' from ``hold.''

Norddeutsche Affinerie AG (NDA GY), Europe's largest copper refiner, rallied 2.14 euros, or 7.7 percent, to 30, the highest in four weeks. Copper prices surged as China, the world's largest user of industrial metals, unveiled its stimulus plan to sustain its economy.

United Internet AG (UTDI GY) rose 28 cents, or 4.1 percent, to 7.04 euros. Credit Suisse Group AG raised its recommendation for Germany's third-largest Web-access provider to ``neutral'' from ``underperform.''

To contact the reporter on this story: Stefanie Haxel in Frankfurt at shaxel@bloomberg.net.

Last Updated: November 10, 2008 10:21 EST