Thu, 24 Sep 2020

BERLIN, Aug. 4 (Xinhua) -- German stocks were off to a good start on Tuesday, with the benchmark DAX index rising by 97.15 points, or 0.77 percent, opening at 12,744.13 points.

The biggest winner among Germany's largest 30 companies at the start of trading was chipmaker Infineon, increasing by 3.74 percent, followed by aircraft engine manufacturer MTU Aero Engines with 2.45 percent and carmaker Daimler with 2.16 percent.

On Tuesday, Infineon announced losses of 128 million euros (150.9 million U.S. dollars) in the third quarter (Q3) of the fiscal year. However, following the acquisition of U.S. chipmaker Cypress, revenues increased by around 200 million euros compared to the second quarter to around 2.2 billion euros.

"The pandemic continues to have a significant impact on our target markets, resulting in weaker demand in many product areas," said Reinhard Ploss, chief executive officer (CEO) of Infineon. Nevertheless, Ploss saw "concrete signs of recovery" in the company's important automotive market.

Shares of Wirecard fell by 2.07 percent. The German financial service provider was the biggest loser at the start of trading on Tuesday followed by pharmaceutical giant Bayer and housing company Deutsche Wohnen with minus 0.79 and plus 0.07 percent.

On Tuesday, Bayer announced that net losses reached a new all-time high of 9.5 billion euros in the second quarter due to "special items for litigations" regarding the selling of a carcinogenic glyphosate-based weed killer by subsidiary Monsanto.

The yield on German ten-year bonds went down 0.003 percentage points to minus 0.525 percent, and the euro was trading almost unchanged at 1.1763 U.S. dollars, increasing by 0.01 percent on Tuesday morning.

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