Sept. 23 (Bloomberg) -- German stocks rose, led by insurers including Munich Re after Hurricane Rita weakened as it approached the U.S. Gulf Coast, easing concern about damage claims and sending oil prices lower.

``The storm weakening is good news,'' said Guy Stern, chief investment officer of Credit Suisse Asset Management's German unit in Frankfurt, which oversees $17.8 billion. ``You don't want big disruptions in people's lives or in the stock market.'' Stern declined to name which stocks he was buying or selling.

The benchmark DAX Index rose 0.4 percent to 4869.78 at 12:33 p.m. in Frankfurt, paring its decline this week to 2.4 percent. Twenty-five of the benchmark's 30 stocks rose. DAX December futures were little changed at 4890. The HDAX Index of the nation's 110 biggest companies added 0.4 percent to 2517.74.

Rita's winds dropped to 140 miles per hour from as high as 175 mph earlier, the National Hurricane Center said. Crude oil for November delivery fell as much as 0.9 percent to $65.88 a barrel as the storm shifted eastward, away from the heart of the Texas refining industry.

Munich Re, the world's largest reinsurer, climbed 0.9 percent to 89.69 euros. Allianz AG, Europe's largest insurer, rose 1 percent to 104.14 euros. Hannover Re, the world's fifth- largest reinsurer, gained 3.4 percent to 27.35 euros.

Commerzbank AG, Germany's third-biggest bank by assets, rose 49 cents, or 2.3 percent, to 22.02 euros.

The following stocks rose or fell in Germany. Stock symbols are in parenthesis after the company name.

Deutsche Boerse AG (DB1 GY), Europe's largest stock exchange, added 1.4 percent to 77 euros. Deutsche Boerse wants to keep its clearing and settlement unit, rejecting a proposal to break it off as a non-profit business to cut costs for clients, managing director Volker Potthoff told newspaper Boersen-Zeitung.

Deutsche Postbank AG (DPB GY), which is considering a takeover bid for BHW Holding AG, fell 77 cents, or 1.7 percent, to 44.18 euros. Citigroup Inc. cut the bank's shares to ``sell'' from ``hold''.

MorphoSys AG (MOR GY), a supplier of antibodies used to develop new drugs, added 1.4 euros, or 4 percent, to 36.10 euros. The company entered a cross-licensing accord with Eli Lilly & Co. on the use of protein technologies.

The agreement is part of a settlement to resolve patent litigation initiated by Applied Molecular Evolution, a Lilly subsidiary, MorphoSys said.

Rheinmetall AG (RHM GY), which makes guns for the U.S. Army's Abrams tank, gained 3.6 percent to 53 euros. Citigroup Inc. rated the shares ``buy'' in new coverage and set its target price at 60 euros.

Volkswagen AG (VOW GY), Europe's largest automaker, dropped 1.6 percent to 49.34 euros, after rising 9.5 percent in the previous three sessions. Volkswagen said it may sell stock in its Gedas AG automotive-consulting division and Europcar International SA car-rental subsidiary. Volkswagen said it's also considering expanding or selling the units.

``Some investors may be disappointed,'' said Norbert Kretlow, an analyst at Independent Research in Frankfurt. ``They may have been expecting better news.''

Volkswagen shares rose the most in a year yesterday, following a Dow Jones report that billionaire investor Kirk Kerkorian may buy a stake in the company.

To contact the reporter on this story: Chris Fournier in Frankfurt at Cfournier3@bloomberg.net.

Last Updated: September 23, 2005 06:34 EDT