German Stocks Are Little Changed; Deutsche Telekom FallsTrista Kelley
German stocks were little changed after climbing for two consecutive days.
Deutsche Telekom AG fell 0.9 percent after agreeing to buy the remaining stake of its Czech phone unit for 828 million euros ($1.1 billion). Bilfinger SE added 2.4 percent after Commerzbank AG and Deutsche Bank AG raised their price estimates for Germany’s second-biggest builder. Linde AG and K+S AG gained in lockstep with a gauge of European chemicals stocks.
The DAX Index declined 0.1 percent to 9,289.86 at the close in Frankfurt after advancing 2 percent in the past two days. The broader HDAX Index fell 0.1 percent today.
“Markets are calming down a bit,” Elwin De Groot, a market economist at Rabobank in Utrecht, the Netherlands, said in an interview. “The fear factor disappeared by the end of last week and whether that means we’ll have a better week, that remains to be seen.”
Deutsche Telekom lost 0.9 percent to 11.66 euros. The company will acquire the remaining 39.2 percent stake in the Czech unit from Falcon Group led by Mid Europa Partners LLP, according to a statement from the private-equity firm. The transaction won’t require regulatory approval, Bonn-based Deutsche Telekom said in a separate release.
Bilfinger added 2.4 percent to 87.77 euros. Commerzbank raised its stock-price projection to 102 euros from 84 euros, saying earnings will pick up after a cost-savings program. Deutsche Bank boosted its price estimate to 86 euros from 83 euros in a note dated Feb. 7. Bilfinger reports full-year results tomorrow.
Linde rose 1.3 percent to 142.30 euros for the biggest increase in the DAX. Chemicals companies were among the best performers in the Stoxx Europe 600 Index today, climbing 0.5 percent as a group. K+S advanced 0.7 percent to 24.06 euros.