German Stocks Decline as Ukraine Crisis Escalates
German stocks declined for a third day, for the longest losing streak since February for the benchmark DAX Index (DAX), as tensions escalated between Russia and the U.S. over the violence in eastern Ukraine.
Deutsche Post AG fell 1.4s percent after Commerzbank AG downgraded the shares. Rheinmetall slumped to a two-month low after a report that its sale of 800 battle tanks to Saudi Arabia may be canceled. Symrise AG (SY1) fell 3.1 percent after announcing a plan to acquire Diana Group, a flavors company in France.
The DAX Index retreated 0.6 percent to 9,263.8 at 10 a.m. in Frankfurt. The gauge fell 3.9 percent last week amid a selloff in stocks considered too expensive by some investors. The broader HDAX Index also slid 0.6 percent today.
Violence continued to escalate in eastern Ukraine as NATO, the European Union and the U.S. urged Russia to ease the crisis and pull back its troops from Ukraine’s borders. A deadline for pro-Russian separatists to leave buildings they occupied passed without any sign of the forces complying. Russia and the U.S. faced off at an emergency meeting of the United Nations Security Council, blaming each other for causing the unrest.
In the U.S., a Commerce Department report at 8:30 a.m. in Washington may show that retail sales rose last month, indicating the world’s largest economy is recovering from a winter-led slowdown earlier this year.
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