Fresenius SE rose 1.1 percent, extending a record and rising for a fifth day. TUI AG (TUI1) gained 2.1 percent after Europe’s largest tour operator reported a surprise full-year profit and said earnings will continue to rise as a turnaround plan gains speed. Deutsche Post AG (DPW) climbed 1.4 percent after Helvea SA rated Europe’s largest postal company new buy.
The DAX Index (DAX) advanced 0.6 percent to 9,138.49 at 9:46 a.m.in Frankfurt, trimming its decline this month to 2.9 percent. The equity benchmark has surged 20 percent this year as central banks around the world pledged to leave interest rates low for a prolonged period of time. The broader HDAX Index increased 0.5 percent today.
“As you read articles and watch the FOMC members speak in the last few weeks, it’s clear that rather than doves versus hawks, it’s more about January versus March,” Antonin Jullier, the London-based global head of equity trading strategy at Citigroup Global Markets, said, referring to the timing of tapering, in an interview with Francine Lacqua on Bloomberg Television. “Nobody is talking about higher rates. That’s well understood by the market. If we do get a selloff, it’ll likely be more short lived.”
Data at 10 a.m. in Frankfurt may show the Ifo institute’s business climate index increased to 109.5 in December from 109.3 last month, according to the median estimate of 39 economists in a Bloomberg News survey. That would be the highest since April 2012.
The Fed concludes a two-day meeting to decide whether to begin trimming its $85 billion monthly asset-purchase program. About 34 percent of economists surveyed by Bloomberg on Dec. 6 predicted that the U.S. central bank will announce a reduction in stimulus after European markets close today.
To contact the reporter on this story: Inyoung Hwang in London at firstname.lastname@example.org
To contact the editor responsible for this story: Cecile Vannucci at email@example.com