German Stocks Pare Losses, Led by Hypo Real Estate, E.ON Shares

By Stefanie Haxel

Dec. 10 (Bloomberg) -- Germany’s DAX Index rebounded as Hypo Real Estate Holding AG and E.ON AG gained. Linde Group led falling shares after U.S. competitor Praxair Inc. lowered its profit forecast.

The benchmark DAX added 5.25, or 0.1 percent, to 4,784.36 as of 12:16 p.m. in Frankfurt after falling as much as 0.8 percent earlier. The broader HDAX Index percent rose also 0.1 percent.

Hypo Real Estate climbed 10 cents, or 3.4 percent, to 3.07 euros. The German government boosted loan guarantees to the property lender bailed out in October by an additional 10 billion ($13 billion). E.ON, the country’s biggest utility, rose 49 cents, or 1.9 percent, to 26.56 euros.

Linde Group, Germany’s largest industrial gas maker, plunged 4.8 percent to 55.58 euros. Praxair Inc. lowered its forecast for fourth-quarter earnings per share and will cut 1,600 jobs because the recession is causing an “unprecedented” drop in demand.

To contact the reporter on this story: Stefanie Haxel in Frankfurt at shaxel@bloomberg.net.