German Exports Rise, Output Falls; Alstom Rise

Mayank Mehta
08 Sep, 2009
New York City

German industrial output declined 0.9% in July but exports increased 2.3% to

[R]7:00PM Frankfurt, Paris; 1:00 PM New York – German industrial output declined 0.9% in July but exports increased 2.3% to €68.4 billion, third monthly increase. Air France-KLM traffic falls in August but passenger yield improve on tighter capacity. Alstom wins €140 million tramway project in Brazil.[/R]

German industrial output decreased 0.9% in July from the revised 0.8% increase in June according to the latest data from the Economy Ministry. The June data was revised from the decline of 0.1%.

The decline in output was broad based with 2.3% fall in construction and 3.2% declined in investment goods production.

Separately, seasonally adjusted German exports increased 2.3% to €68.4 billion, the third monthly increase and imports were unchanged at €55.9 billion. Exports declined 18.7% from a year ago and imports fell 22.3%.

Trade surplus increased to €12.4 billion according to the Federal Statistics Office.

On Monday, manufacturing order index for July was reported with 3.5% increase in July.

In London FTSE 100 Index closed higher 14.16 or 0.29% to 4,947.34, in Paris CAC 40 Index increased 8.13 or 0.22% to close at 3,660.96, in Frankfurt DAX index higher 18.22 or 0.33% to close at 5,481.73. In Zurich trading SMI increased 12.75 or 0.21% to close at 6,194.72.

Gainers & Losers

Alstom SA rose 2.5% to €50.68 after the train maker said Brazil government has signed a contract with the Bastram consortium1 for phase 1 of the tramway project. Alstom''s share of this first phase is around €140 million.

Air France-KLM increased 6.6% to €10.68 said on Tuesday its passenger traffic fell 2.9% in August while its load factor improved slightly thanks to a sharper 4.2% decline in capacity.

Dassault Aviation SA rose 2.1% to €507.00.

Commerzbank AG surged 5.3% to €7.58 and Deutsche Bank AG fell 1.3% to €48.36 after Sueddeutsche Zeitung reported that the cap of executives’ salaries are expected to expire at the end of this year.

Deutsche Telekom AG increased 2.0% to €9.65 after it merged its UK operations with that of France Telecom operations. The equal merger is expected to cash flow accretive by 2010 and earnings per share accretive by 2011. The newly merged company will be the largest mobile phone services provider in the UK with 28 million subscribers and 37% market share.

France Telecom increased 2.1% to €18.51.

Deutsche Lufthansa AG rose 3.3% to €11.38 after the British Airways plc is considering a possible bid for UK airline bmi and talks between BA and bmi''s German owner Deutsche Lufthansa AG have already taken place according to the Sunday Times.

Esker SA the fax-software supplier surged 11.5% to €4.25 after it received an order from Singapore Post.

Inter Parfums SA increased 4.5% to €16.00 after the scent designer said hopes to complete an acquisition in 2010, and adding launches of new fragrances should help boost revenue growth next year. The designer reported 2.7% rise in first-half net to €11.5 million.

LVMH Moet Hennessy Louis Vuitton SA increased 1.6% to €67.78.

Orpea SA added 1.9% to €34.65 after the provider of retirement homes said first-half revenues rose 22.4% to €404.1 million from €330.2 million a year ago. Net profit in the first-half rose 6.7% to €30.1 million compared to net profit of €28.2 million a year ago.

Total SA increased 1.5% to 40.82 ahead of the OPEC meeting in Vienna, Austria.

DAX Index Movers

Fresenius SE led the decliners in the DAX index of 2.61% followed by losses in Deutsche Bank AG of 1.33%, in Daimler AG of 1.14%, in Thyssenkrupp AG of 0.89%, in Henkel AG of 0.82%.

Commerzbank AG led gainers in the DAX index with a rise of 5.59% followed by increase in Salzgitter AG of 3.16%, in Deutsche Lufthansa AG of 2.76%, in Beiersdorf AG of 2.26%, in adidas AG of 1.78%.

CAC-40 Index Movers

Societe Generale SA led the decliners in the CAC-40 index of 3.69% followed by losses in BNP Paribas SA of 3.31%, in Credit Agricole SA of 2.46%, in Bouygues SA of 1.40%, Suez Environnement SA of 1.13%.

Air France-KLM gainers in the CAC-40 index with a rise of 6.34% followed by gainers in Accor SA of 2.90%, PPR SA of 2.82%, in STMicroelectronics NV of 2.53%, in Vallourec SA of 2.44%.

FTSE 100 Index Movers

Of the stocks in the FTSE 100 index, 57 increased, 44 declined and 1 were unchanged.

Aviva Plc decliners in the FTSE 100 index with a loss of 3.20% followed by losses in RSA Insurance Group Plc of 2.35%, in Legal & General Group Plc of 2.25%, in Centrica Plc of 2.12%, in British Sky Broadcasting Group Plc of 2.04%.

Kazakhmys Plc led gainers in the FTSE 100 index with a rise of 6.42% followed by increase in InterContinental Hotels Group Plc of 5.47%, in Fresnillo Plc of 5.07%, in British Airways Plc of 4.25%, in Rio Tinto Plc of 3.55%.