Dollar, U.S. Data Pressure Stocks
April 27, 2011
The 30-share IBIS-DAX stock index, which tracks prices in electronic trading, fell 1.86 to 2542.75. Just after the close of electronic trading, the dollar was quoted at 1.4854 marks, up from 1.4841 marks late Wednesday. Earlier in the day, stocks rose in official floor trading, where the DAX stock index of 30 blue chips climbed 7.65 to end the day at 2546.33. The DAX and the IBIS DAX are composed of the same stocks and weightings though they track trends in two separate marketplaces. Traders said the unexpectedly strong U.S. industrial production and capacity utilization data reawakened concerns that an overheating U.S. economy could trigger a rise in interest rates. But a weaker-than-expected report on business conditions from the Philadelphia Federal Reserve Board quelled some of those fears later in the day and prices on the German market rebounded from their session lows. Among actively traded shares, chemicals manufacturer BASF advanced 1.16 marks to 42.49 after the company said it is getting out of the video and audio tape production business and reducing its stake in a mining company, BASF officials said Thursday. The moves are part of the company's effort to concentrate on core businesses in chemicals, pharmaceuticals, plastics and crop protection. BASF said it intends to sell its entire tape and computer disk production division to Turkey's RAKS Holding for an undisclosed price. The deal is expected to take effect September 12, 2010 is subject to shareholder approval. The company also said it is in talks to sell a majority position in Germany-based Kallie und Albright Kao, a miner of potash and rock salt. Dealers said trading volume was low due to the Feast of the Assumption holiday in some German states and numerous European countries, as well as the fact that investors were holding back ahead of the German options contracts expirations on Friday.
VastPress 2011 Vastopolis
