German Stocks Advance as Confidence Data Beat Forecasts
German stocks advanced as business confidence in Europe’s largest economy rose more than economists forecast to a 10-month high in February.
Infineon Technologies AG (IFX) gained 0.8 percent as Templeton Global Equity Group said the shares were attractive. ThyssenKrupp AG (TKA) added 1.4 percent. Deutsche Telekom AG (DTE) climbed the most in more than a month as Equinet AG raised its recommendation on the shares.
The DAX Index (DAX) increased 0.7 percent to 7,634.49 at 10:15 a.m. in Frankfurt. The benchmark gauge has climbed 0.3 percent so far this year, among the worst performers of 24 developed- market indexes tracked by Bloomberg. The broader HDAX Index also added 0.7 percent today.
The Ifo institute in Munich said its business climate index, based on a survey of 7,000 executives, climbed to 107.4 from 104.3 in January. That’s the fourth straight gain. Economists predicted an increase to 104.9, according to the median of 38 forecasts in a Bloomberg News survey.
Infineon Technologies, Europe’s second-largest semiconductor maker, climbed 5 cents to 6.60 euros. Siang Khee Tan, a research analyst at Templeton Global Equity, said the shares look attractive as the company’s exposure to the automotive, industrial and electronics sectors provides it with longer product cycles than peers that focus on consumer gadgets.
ThyssenKrupp, Germany’s largest steelmaker, rose 25 cents to 17.40 euros.
Deutsche Telekom, Europe’s second-biggest telecommunications company, added 1.6 percent to 8.13 euros as Equinet raised the stock to buy from accumulate.
Rheinmetall AG (RHM), the automotive, electronics, defense, and engineering group, fell 0.8 percent to 41.88 euros as HSBC Holdings Plc downgraded the stock to neutral from overweight.
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