German Stocks Little Changed; SGL Carbon, Bertrandt Gain
SGL Carbon SE jumped the most since October 2011 after Bayerische Motoren Werke AG said the two companies will increase production capacity at their carbon-fiber joint venture. ThyssenKrupp AG (TKA) dropped 1.3 percent as Citigroup Inc. downgraded its rating on Germany’s largest steelmaker.
The DAX rose 0.1 percent to 9,671.93 at 11:36 a.m. in Frankfurt. The gauge rallied 3.9 percent last week after Federal Reserve Chair Janet Yellen pledged to continue her predecessor’s policies to support the economy, Chinese imports surged and companies including ThyssenKrupp posted better-than-forecast earnings. The HDAX Index added 0.2 percent today. The U.S. market is closed today for President’s Day.
“When there is a holiday in the U.S., markets are pretty quiet,” Raimund Saxinger, a fund manager at Frankfurt-Trust Investment GmbH, which oversees about $22 billion, said in a telephone interview. “We have recently seen quite a strong move so the market needs to take some time to recover.”
The volume of shares changing hands in DAX-listed companies was 45 percent lower than the average of the past 30 days, data compiled by Bloomberg showed.
SGL Carbon jumped 12 percent to 30.45 euros. BMW, the world’s largest luxury-car maker, will build a second production hall at a factory jointly run with SGL Carbon to prepare for increasing demand for carbon fiber, Mathias Schmidt, a BMW spokesman, said, without giving details on how much they will spend on the expansion.
The two companies will invest more than 100 million euros ($137 million) to double production to 6,000 tons a year, German newspaper Handelsblatt reported, citing unidentified people.
MorphoSys AG rose 2.8 percent to 65.30 euros. The biotechnology company said it got a milestone payment from Novartis AG in connection with the application and projected initiation of a Phase 1 clinical trial for an antibody the two companies are collaborating on to treat inflammatory diseases.
ThyssenKrupp slipped 1.3 percent to 20.20 euros. Citigroup downgraded the steelmaker to sell from neutral, citing a recent rally in the stock. ThyssenKrupp shares have risen 14 percent so far this year.
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