German shares gain 0.50 pct at start of trading on Monday

German stocks were off to a good start on Monday, with the benchmark DAX index rising 61.1 points, or 0.50 percent, opening at 12,374.46 points.

The biggest winner among Germany’s largest 30 companies at the start of trading was financial service provider Wirecard, increasing by 4.0 percent, followed by car manufacturer Volkswagen with 1.54 percent and industrial gas producer Linde with 1.40 percent.

Shares of BMW fell by 0.04 percent. The German car manufacturer was the biggest loser at the start of trading on Monday.

On Monday, aircraft engine manufacturer MTU Aero Engines announced that revenues in the first six months of the year declined by 8.7 percent year-on-year to 2.05 billion euros (2.41 billion U.S. dollars). Operating profit was 224.2 million euros (264.02 million dollars), compared with 365.2 million euros (430.06 million dollars) in the prior-year period.

“The figures reflect the first effects of the coronavirus pandemic,” said Reiner Winkler, CEO of MTU Aero Engines.

The German Retail Federation (HDE) announced on Monday that consumer sentiment in Germany was on a “recovery course” in August, but the pace of the increase had slowed down compared to the previous month.

The HDE consumer barometer in August reached 98.14 points, an increase of 1.8 points compared to the previous month. From June to July the value had already increased by 2.83 points, according to HDE.

The yield on German ten-year bonds went up 0.009 percentage point to minus 0.524 percent, and the euro was trading almost unchanged at 1.1775 U.S. dollars, decreasing slightly by 0.02 percent on Monday morning.

About Famagusta Gazette 60 Articles
Famagusta Gazette keeps readers up-to-date on all regional and global news in regular updates.