German Stocks Rise for Second Day After Confidence Data

German stocks advanced for a second day after a consumer-confidence report and after Turkey’s central bank raised interest rates.

Bayer AG gained 1.7 percent after Berenberg Bank recommended buying the shares. HeidelbergCement AG (HEI) added 2.8 percent after JPMorgan Chase & Co. said it was a preferred stock among European builders. Osram Licht AG (OSR) jumped 6.6 percent after quarterly earnings beat analysts’ estimates. Deutsche Euroshop AG lost 1.5 percent after UBS AG downgraded the shares.

The benchmark DAX Index (DAX) rose 0.8 percent to 9,482.12 at 10:20 a.m. in Frankfurt, brining its two-day gain to 1.4 percent. The broader HDAX Index added 0.8 percent today.

A report predicted that consumer confidence will increase next month. GfK said its sentiment index will rise to 8.2 in February. That would be the highest level since 2007. The gauge rose to 7.7 in January.

Turkey’s lira surged after the country’s central bank increased all its key interest rates at an emergency late-night meeting, reversing years of policy aimed at fueling growth.

In the U.S., the Federal Reserve will announce its decision on slowing the pace of monthly bond purchases after European markets close today.

The volume of shares changing hands in companies listed on the DAX was 39 percent higher today than the average of the past 30 days, according to data compiled by Bloomberg.

To contact the reporter on this story: Namitha Jagadeesh in London at njagadeesh@bloomberg.net

To contact the editor responsible for this story: Cecile Vannucci at cvannucci1@bloomberg.net

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