German Stocks Rise on Iran Nuclear Pact; Lufthansa Gains
German stocks climbed, after posting their longest weekly winning streak since February 2012, as Iran agreed to restrict its nuclear program and investors awaited a report on U.S. pending house sales.
Fresenius Medical Care AG surged 7.9 percent after U.S. regulators scrapped a proposed 9.4 percent cut in Medicare payments to dialysis providers. Deutsche Lufthansa AG (LHA), Europe’s biggest airline by sales, gained 2.4 percent.
The DAX Index (DAX) added 0.6 percent to 9,277.27 at 9:52 a.m. in Frankfurt. The equity benchmark has surged 22 percent in 2013 as central banks around the world pledged to leave interest rates low for a prolonged period of time. The gauge has climbed for the past seven weeks. The broader HDAX Index (HDAX) increased 0.7 percent today.
Iran agreed to limit its nuclear program in exchange for as much as $7 billion in relief from economic sanctions over six months. Diplomats including Iranian Foreign Minister Mohammad Javad Zarif and U.S. Secretary of State John Kerry announced the pact early yesterday in Geneva.
Iran aims to conclude a comprehensive deal with the U.S., U.K., Germany, France, Russia and China within six months. Under the temporary agreement, Iran must improve co-operation with United Nations monitors, commit to eliminate its stockpile of uranium enriched to 20 percent and halt advanced centrifuge installation, the White House said in a statement.
In the U.S., a National Association of Realtors report at 10 a.m. in Washington may show that pending house sales rose 1.1 percent in October, according to the median forecast of 34 economists in a Bloomberg News survey. They declined 5.6 percent in September.
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