German Exports Rise 7%, Peugeot Drops

123jump.com Staff
07 Aug, 2009
New York City

European stocks edged higher. German exports in June increased 7% and trade surplus increased to

[R]7:00PM Frankfurt, Paris; 1:00 PM New York – In European markets stocks edged sideways. German exports in June increased 7% and trade surplus increased to €12.2 billion. Also, industrial output decreased 0.1% in June and declined 1.3% from a year ago. Allianz SE increased after net profit in the first decreased 29%. PSA Peugeot declined on rating downgrade.[/R]

German exports in June increased 7% from May and trade surplus in the month widened to €12.2 billion from €9.5 billion in the month ago. Imports in the month increased 6.8% in June from May according to the Federal Statistics Office in Wiesbaden. The international trade statistics are adjusted for calendar and seasonality.

In a separate report, industrial output in the month declined 0.1% from May according to Economy Ministry in Berlin. The May production increase was revised lower to 3.7% from the previous estimate of 4.3%.

In London FTSE 100 Index closed higher 27.59 or 0.59% to 4,718.12, in Paris CAC 40 Index decreased 17.84 or 0.51% to close at 3,458.53 and in Frankfurt DAX index lower 64.01 or 1.18% to close at 5,353.01. In Zurich trading SMI decreased 27.87 or 0.47% to close at 5,911.91.

Gainers & Losers

Allianz SE increased 0.9% to €76.15 an integrated financial service provider said first-half revenues rose 2.9% to €49.9 billion from €48.5 billion a year ago. Net profit in the first-half fell 29.4% to €1.9 billion or €4.17 per diluted share compared to net profit of €2.7 billion or €5.85 per share a year ago.

Bonduelle SCA sank 1.9% to €59.80 a supplier of fresh, frozen and canned vegetables said fourth quarter sales rose 5.9% to €394.6 million. Consolidated sales rose 2% to €1.52 billion from €1.49 billion a year ago. The canned food business increased 12.6% at constant exchange rates.

Commerzbank AG added 0.2% to €5.88 said first-half net interest income rose 59% to €3.5 billion from €2.2 billion a year ago. Net loss in the first-half was €1.61 billion or €1.78 per diluted share compared to net income of €1.10 million or €1.67 per share a year ago.

Deutsche Telekom AG rose 2.1% to €8.97 an integrated telecommunications provider said first-half revenues rose 6.6% to €32.1 billion from €30.1 billion a year ago. Net loss in the first-half was €603 million compared to net income of €1.3 billion a year ago.

ElringKlinger AG fell 2.8% to €12.00 an automotive supplier said first-half revenues fell 23.5% to €267.9 million from €350.2 million a year ago. Net income in the first-half fell 73.9% to €10.0 million or €0.17 per diluted share compared to net income of €38.1 million or €0.66 per share a year ago.

PSA Peugeot dropped 5.4% to €21.25 after rating agencies lowered debt rating to junk and issued “negative outlook” on deteriorating financial conditions in 2010. S&P lowered rating to BB+ from BBB-.

ProSiebenSat.1 Media AG gained 9.7% to €5.50 after the broadcasting company said first-half revenues fell 13.7% to €1.32 billion from €1.53 billion a year ago. Net income in the first-half fell 15.1% to €43.8 million or €0.21 per diluted share compared to net income of €51.6 million or €0.25 per share a year ago.

Umicore SA, the precious metals recycler dropped 2.4% to €18.78 after it reported first half profit declined to €48.1 million from €217 million and sales fell 14% to €860 million

The company guided second half results will match that in the first half on weak business conditions.

Veolia Environnement dropped 1.2% to €22.58 after the water, waste, transport and energy services group said first-half revenues fell 0.8% to €17.43 billion from €17.57 billion a year ago. Net income in the first-half fell 56% to €220.3 million or €0.47 per diluted share compared to net income of €500.5 million or €1.08 per share a year ago.

Volkswagen increased 3.7% to 252 euros after the company revised its annual unit sales forecast to a decline of 5% from the previous estimate of 10% decline according to the company spokesperson Michael Brendel as reported on Bloomberg.

Europe Markets Review

In London FTSE 100 Index closed higher 41.03 or 0.87% to 4,731.56, in Paris CAC 40 Index increased 43.31 or 1.25% to close at 3,521.14 and in Frankfurt DAX index higher 88.98 or 1.66% to close at 5,458.96. In Zurich trading SMI increased 58.32 or 0.95% to close at 6,026.40.

DAX Index Movers

METRO AG led the decliners in the DAX index of 0.67% followed by losses in Henkel AG of 0.22%, in Merck KGaA of 0.20%, in Hannover Rue AG of 0.17%.

Volkswagen AG led gainers in the DAX index with a rise of 5.22% followed by increase in Deutsche Telekom AG of 4.34%, in Deutsche Bank AG of 3.86% in Daimler AG of 3.69%, in Adidas AG of 2.97%.

CAC-40 Index Movers

PSA Peugeot Citroen S.A. led the decliners in the CAC-40 index of 5.43% followed by losses in Veolia Environnement of 2.16%, in Dexia SA of 2.16%, in Unibail-Rodamco SA of 2.05%, in Renault SA of 1.97%.

Alcatel Lucent gainers in the CAC-40 index with a rise of 6.03% followed by gains in Societe Generale SA of 4.97%, in GDF Suez SA of 4.35%, in France Telecom SA of 3.57%, in Vallourec SA of 3.07%.