German Stocks Drop for a Second Day as Lufthansa Slides
Deutsche Lufthansa AG (LHA) retreated 1.5 percent, posting the worst performance on the benchmark DAX (DAX) Index. Kontron AG (KBC) slid 7.7 percent as the maker of embedded computer boards said that its chief financial officer will leave at the end of the year. Fresenius Medical Care AG advanced 0.9 percent as Morgan Stanley raised its price forecast for the stock by 11 percent.
The DAX lost 0.4 percent to 9,367.1 at 10:09 a.m. in Frankfurt, slipping from a record 9,405.3 reached on Nov. 29. The equity benchmark rose 4.1 percent last month as it completed an eight-week rally. The gauge has advanced 23 percent this year, sending valuations to their highest level since the end of 2009. The broader HDAX Index (HDAX) also fell 0.4 percent today.
The volume of shares changing hands in DAX-listed companies was 20 percent greater than the average of the last 30 days, according to data compiled by Bloomberg.
In the U.S., a Labor Department report on Friday will show the change in non-farm payrolls and the unemployment rate for November. A jobs report tomorrow will probably show that U.S. companies added the most workers since June. The Federal Reserve has said it will use labor-market changes to help it decide when to pare its $85 billion of monthly bond purchases.
The central bank publishes its Beige Book report on economic conditions in the world’s largest economy tomorrow, two weeks before the Federal Open Market Committee meets on Dec. 17-18. to consider changes to its stimulus program. Fed policy makers will probably reduce their monthly bond purchases to $70 billion at the March 18-19 meeting, according to the median of 32 estimates in Bloomberg’s most recent survey of economists conducted on Nov. 8.
The European Central Bank and the Bank of England both meet on Thursday.
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