Jan. 17 (Bloomberg) -- German stocks rose to a record, with the benchmark DAX Index posting the biggest weekly increase in almost a month, as a U.S. report showed home construction capped the best year for the industry since 2007.
ThyssenKrupp AG rose 2.4 percent after its chief executive officer confirmed the steelmaker’s full-year profit forecast at the annual general meeting. ElringKlinger AG added 4.6 percent after Exane BNP Paribas recommended buying the car-parts maker. Deutsche Lufthansa AG and RWE AG declined.
The DAX added 0.3 percent to 9,742.96 at the close of trading in Frankfurt, after earlier gaining as much as 0.7 percent. The benchmark gauge has climbed 2.9 percent this week. The broader HDAX Index rose 0.3 percent today.
“The outlook for economic data in the U.S. and Europe is intact,” Alessandro Fezzi, a senior market analyst at LGT Bank Schweiz AG in Zurich, said in an interview. “Investors are going to focus on earnings results this quarter as worries about the economic recovery fall into the background, paying special attention to any surprises on corporate earnings and the outlook of companies.”
The volume of shares changing hands in DAX-listed companies was 60 percent higher than the average in the last 30 days, according to data compiled by Bloomberg.
A Commerce Department in Washington showed that housing starts fell 9.8 percent to a 999,000 annualized pace in December from a revised 1.11 million rate a month earlier. Economists had forecast a drop to 985,000 in a Bloomberg survey.
ThyssenKrupp advanced 2.4 percent to 19.16 euros. CEO Heinrich Hiesinger confirmed that the company will meet its full-year forecast for adjusted earnings before interest and taxes of about 1 billion euros ($1.4 billion). Chief Financial Officer Guido Kerkhoff said ThyssenKrupp has no plans to increase capital.
ElringKlinger increased 4.6 percent to 32.60 euros. Exane raised the stock to outperform from neutral after it fell from its October high. The brokerage said the company’s product pipeline should drive growth above the industry average in the medium term.
Lufthansa slipped 0.8 percent to 18.26 euros. Europe’s second-largest airline has yet to find a successor for CEO Christoph Franz, spokesman Christoph Meier said.
Separately, Macquarie Group Ltd. downgraded the airline to neutral from outperform, meaning that investors should no longer buy the shares. The brokerage said a measure of revenue-per-seat may grow at a smaller pace. The stock jumped to its highest price since December 2007 on Jan. 15.
RWE lost 2.6 percent to 26.82 euros. The utility will seek partners for its wind and hydropower projects as constrained finances threaten growth, according to Paul Coffey, chief operating officer of RWE’s Innogy unit.
To contact the reporter on this story: Corinne Gretler in Zurich at email@example.com
To contact the editor responsible for this story: Cecile Vannucci at firstname.lastname@example.org