German Stocks Rise as DAX Index Rebounds From Weekly Drop
German stocks advanced after the biggest weekly drop in seven weeks, as a report showing the Japanese economy grew more than initially forecast offset worse-than-estimated Chinese export growth data.
Deutsche Telekom AG (DTE) added 1.3 percent after a report that SoftBank Corp. is considering buying the company’s stake in T-Mobile US Inc. Fresenius Medical Care AG & Co. KGaA increased 1.6 percent as Barclays recommended investors buy the shares.
The DAX Index (DAX) gained 0.3 percent to 8,276.82 at 9:50 a.m. in Frankfurt. German stocks posted their biggest weekly drop since April 19 last week amid speculation the Federal Reserve will reduce its bond-buying program as the U.S. economy strengthens. The broader HDAX Index added 0.3 percent today.
Japan’s Topix index surged by the most in two years today as the government said the economy grew more than initially forecast in the first quarter. Gross domestic product in Japan expanded an annualized 4.1 percent, compared with a preliminary calculation of 3.5 percent, the Cabinet Office said.
Separately, an index measuring sentiment in the euro-area rose to minus 11.3 in June from minus 15.6 in May, economists predicted before the Limburg, Germany-based Sentix research institute publishes the figures today.
China’s export growth sank to a 10-month low in May, according to a June 8 report. Overseas sales rose 1 percent from a year earlier, the General Administration of Customs said in Beijing, trailing 35 of 38 analysts’ estimates in a Bloomberg survey and down from April’s 14.7 percent pace. Imports dropped 0.3 percent, leaving a trade surplus of $20.4 billion.
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