Frankfurt / Main - Driven by more favorable inflation figures from Germany, the German stock market rose noticeably on Tuesday.
The Dax was trading 1.12 percent higher at 15,728.87 points in the afternoon after falling slightly at the start of the week.
The MDax of the medium-sized stock market rose on Tuesday by 0.52 percent to 34 453.21 points.
The EuroStoxx 50, the leading index for the Eurozone, gained around 0.7 percent.
The inflation rate in Germany slowed somewhat in June.
Consumer prices were 2.3 percent above the level of the same month last year, according to the Federal Statistical Office.
In May, an annual inflation rate of 2.5 percent was measured in Europe's largest economy.
That was the highest level in almost ten years.
Knorr-Bremse's interest in the automotive supplier Hella threw both stocks into turmoil.
While Hella's paper, a potential entry-level target, jumped 5.5 percent and peaked at a record high of EUR 61.90, Knorr-Bremse's share price recently fell by 7.8 percent to its lowest level since mid-June .
The truck and train brake manufacturer is considering expanding its business with a possible takeover of the automotive supplier.
Knorr-Bremse confirmed “a fundamental interest in the possible acquisition of around 60 percent of the shares in Hella GmbH & Co. KGaA from members of the founding family”, but spoke of a very early stage of the talks.
Tui shares continued their most recent downward trend on Tuesday with a loss of 4.2 percent in response to an increased convertible bond from the tourism group.
The evening before, Tui announced that it had expanded a bond issued in April to bridge the corona crisis with a volume of 400 million euros to include convertible bonds in the amount of 190 million euros.
Such papers can later be exchanged for shares by the owner.
A major order from the German Armed Forces brought Rheinmetall's titles up 3.9 percent.
The automotive supplier and armaments company received an order from the Bundeswehr for armored vehicles worth a good 500 million euros.
The euro fell below the $ 1.19 mark and was last trading at $ 1.1884.
The European Central Bank had set the reference rate the previous day at 1.1910 dollars.
The current yield on German government bonds fell from minus 0.26 percent to minus 0.28 percent.
The Rex bond index rose by 0.06 percent to 144.70 points.
The Bund future fell 0.19 percent to 171.96 points.
dpa
