German Stocks Fall as Business Confidence Slips; Infineon Drops

By Henrietta Rumberger

July 24 (Bloomberg) -- Germany's DAX Index retreated as business confidence in July fell to the lowest level in almost three years. Infineon Technologies AG and TUI AG declined.

The benchmark DAX lost 37.3, or 0.6 percent, to 6,498.79 as of 10:09 a.m. in Frankfurt. The HDAX Index of the country's 110 biggest companies dropped 0.7 percent to 3,303.43.

The Munich-based Ifo institute said its business climate index slipped to 97.5 from 101.2 in June as record oil prices and higher interest rates dimmed the outlook for growth in Europe's largest economy. That's the weakest reading since September 2005. Economists expected a decline to 100.1, according to the median of 40 forecasts in a Bloomberg News survey.

Infineon, Europe's second-largest maker of semiconductors, decreased 22 cents, or 4.3 percent, to 4.86 euros. TUI, the region's biggest travel company, retreated 39 cents, or 2.5 percent, to 15.12 euros.

To contact the reporter on this story: Henrietta Rumberger in Frankfurt at hrumberger@bloomberg.net.