July 8 (Bloomberg) -- Germany's benchmark DAX Index rose, rebounding from its biggest slide yesterday in almost three months. Infineon Technologies AG, Munich Re and Allianz AG paced gains by technology and insurance stocks.

The DAX gained 35.97, or 0.8 percent, to 4566.10 as of 10:08 a.m. in Frankfurt, poised for a 1.1 percent drop on the week. All but two of the DAX's 30 stocks rose. DAX September futures rose 0.1 percent to 4584.5. The HDAX Index of the country's 110 biggest companies climbed 0.8 percent.

The DAX yesterday fell 1.9 percent after terrorists set off four blasts in London's financial district and center, killing commuters and disrupting transportation and business.

Technology and insurance stocks were the best performers among the 18 industry groups on Germany's Prime All Share Performance Index. The sub-indexes rose 2.4 percent and 1.3 percent respectively, outpacing the 0.8 percent advance on the broader measure.

Infineon, Europe's largest chipmaker, rose 15 cents, or 2 percent, to 7.68 euros. Competitor STMicroelectronics NV, Europe's No. 2 chipmaker, was raised to ``outperform'' from ``in-line'' at Goldman, Sachs & Co.

Munich Re, the world's largest reinsurer, climbed 1.04 euros, or 1.2 percent, to 88.04 euros. Allianz, Europe's largest insurer, rose 1.3 euros, or 1.3 percent, to 96.40 euros.

The following stocks are also making gains or losses. Stock symbols are in parentheses after the company names.

Commerzbank AG, Germany's No. 3 bank by market value, rose 14 cents, or 0.8 percent, to 17.79 euros. Chief Executive Klaus- Peter Mueller, confirming a newspaper report, said the bank is ``interested in principle'' in buying BHW Holding.

Commerzbank declined 35 cents, or 1.9 percent, to 17.65 euros. Shares of BHW, a financial services company, added 10 cents, or 0.7 percent, to 15.50 euros, extending their 6 month gain to 50 percent.

Bayerische Motoren Werke AG (BMW GY), the world's second- largest luxury carmaker, gained 27 cents, or 0.7 percent, to 37.85 euros. The company said it sold 4 percent more vehicles in mainland China in the first half of this year compared with a year earlier.

Stada Arzneimittel AG (SAZ GY), a generic-drug maker, fell 16 cents, or 0.5 percent, to 29.86 euros. The shares were cut to ``neutral'' from ``buy'' at UBS AG.

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

Last Updated: July 8, 2005 04:10 EDT