EU Exports Jumps 4.1%; Airbus Production Cut

123jump.com Staff
17 Sep, 2009
New York City

European markets edged higher as investors show willingness to acquire more stocks. Airbus is likely to cut production for the next two years. Trade surplus at EU-16 nations increased to

[R]7:00PM Frankfurt, Paris; 1:00 PM New York – European markets edged higher as investors show willingness to acquire more stocks. Airbus is likely to cut production for the next two years. Trade surplus at EU-16 nations increased to €6.8 billion in July from €2.3 billion in June. Construction output in the region declined 2%.[/R]

German stocks advanced for the third day as global markets gained after the housing market report and jobless claims data in the U.S.

In London FTSE 100 Index closed higher 13.17 or 0.46% to 5,163.95, in Paris CAC 40 Index increased 21.48 or 0.56% to close at 3,835.27, in Frankfurt DAX index higher 30.88 or 0.54% to close at 5,731.14. In Zurich trading SMI increased 17.81 or 0.28% to close at 6,317.72

eurostat the European statistics office reported July exports of EU-16 nations increased 4.1% from June and imports declined 0.3%. Trade surplus increased to €6.8 billion from €2.3 billion in June.

Gainers & Losers

Bayer AG fell 0.6% to €47.65 and separately the company is preparing to release results of 30 clinical trials on three oncology products at an industry conference in Berlin next week.

Bilfinger Berger AG rose 0.02% to €49.43.

Continental AG dropped 2.4% to €38.42 after the auto parts maker at Frankfurt Auto Show exhibited four-part plan to supply carmakers with the technologies to reduce emissions and cut fuel consumption.

Deutsche Bank AG advanced 2.9% to €52.81 and separately the bank ended its discussion to acquire ABN Amro Holdings assets as required by the EU regulators. Xaar plc announced that the bank has acquired 3 million shares, representing 4.8% of the voting power.

Deutsche Boerse AG rose 2.3% to €57.97 on a persistent market speculation that the company will bid for London Stock Exchange. Bank of America research analyst questioned the logic of strategic fit between the stock markets operators.

Deutsche Telekom AG decreased 0.5% to €9.43 after the phone company said Vodafone tried to reassure investors yesterday that it would benefit from plans for a merger between the UK mobile phone businesses of France Telecom and Deutsche Telekom.

Demag Cranes AG the maker of harbor cranes fell 1.2% to €24.35.

E.ON AG the power and gas company increased 1.0% to €28.62 on comments in Dutch media that the company is looking to acquire Oxxio.

EADS NV added 6.0% to €16.17 after the owner of Airbus was upgraded to “overweight” from “equal weight” at Morgan Stanley. Separately the company spokesperson confirmed in an interview with Bloomberg that the company may need to cut production for the next two years as demand declines from the airlines.

Hochtief AG the global construction group added 1.3% to €55.95.

Infineon Technologies AG lost 2.6% to €3.72 after the maker of semiconductors was downgraded to “underperform” from “buy” at Bank of America.

Imerys SA increased 5.9% to €42.81 after the mining and exploration company was upgraded to “outperform” from “neutral” at Exane BNP Paribas.

Keyrus SA the computer-services company climbed 3.4% to €1.19.

Mediobanca Group added 0.6% to €9.97 after the financial company said fourth quarter net interest income rose 2.3% to €225 million. Net loss in the quarter was €44 million compared to net profit of €230 million a year ago.

Manitou BF SA fell 4.3% to €11.27 after the maker of industrial vehicles said first-half net loss of €93.7 million compared to net profit of €48.5 million a year ago.

RWE AG added 0.7% to €63.10 after Handelsblatt cited company officials and said that investment from sovereign wealth is a possibility but did not elaborate. ThyssenKrupp AG rose 0.4% to €24.92 and Salzgitter AG added 0.6% to €72.28.

SAP AG the business-management software developer fell 1.4% to €34.11 after Oracle reported 5.5% increase in sales in the latest quarter, less than expected by many analysts.

SMA Solar Technology AG rallied as much as 6.0% to €69.50 after Commerzbank AG lifted the target price to €70 from €60 according to a report on Bloomberg.

DAX Index Movers

Henkel AG led the decliners in the DAX index of 2.07% followed by losses in BMW AG of 2.05%, in Sap AG of 1.46%, in Salzgitter AG of 1.18%, in Daimler AG of 1.14%.

Fresenius SE led gainers in the DAX index with a rise of 6.29% followed by increase in Deutsche Post AG of 4.07%, in Fresenius Medical Care AG & Co. AG of 3.36%, in Deutsche Bank AG of 3.24%, in K+S AG. of 2.31%.

CAC-40 Index Movers

PSA Peugeot Citroen S.A. led the decliners in the CAC-40 index of 3.03% followed by losses in Michelin SCA of 2.12%, in ArcelorMittal of 2.09%, in Renault SA of 1.82%, Air France-KLM of 1.65%.

Eads NV gainers in the CAC-40 index with a rise of 6.26% followed by gainers in Societe Generale SA of 3.77%, Vallourec SA of 3.16%, in Compagnie de Saint-Gobain SA of 2.89%, in Schneider Electric SA of 2.87%.