German Stocks Advance Before ECB Meeting; Infineon Jumps
German stocks advanced as companies reported earnings and investors awaited the outcome of the European Central Bank’s interest rate-setting meeting.
Infineon Technologies AG (IFX) surged 6.6 percent after quarterly earnings beat estimates.
The benchmark DAX Index climbed 0.3 percent to 7,933.44 at 9:45 a.m. in Frankfurt. The gauge gained 1.5 percent last month as investors speculated the ECB will cut interest rates. German markets were closed yesterday for Labor Day. The broader HDAX Index added 0.2 percent today.
The volume of shares changing hands in companies listed on the DAX was 60 percent higher than the average of the last 30 days, according to data compiled by Bloomberg.
The ECB will lower its benchmark rate by 25 basis points to a record low of 0.50 percent today, according to 44 of 70 economist estimates compiled by Bloomberg. The central bank will announce its rate-setting decision at 1:45 p.m. in Bratislava. ECB President Mario Draghi will hold a press conference 45 minutes later.
In the U.S., the Federal Reserve said it will continue to buy $85 billion of bonds a month, while standing ready to raise or lower purchases if economic conditions change.
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