Welcome to 2016. Germany’s blue-chip DAX stock index fell 4 percent Monday, the first day of trading in the new year, after a Chinese economic indicator showed manufacturing in the world’s second-largest economy falling for a fifth straight month.
Germany’s leading stock index, which includes steel maker ThyssenKrupp, Deutsche Bank and BMW, fell far more than other European indices. It fell by as much as 3.8 percent in morning trading and was down 4 percent by closing at 10,314 points, marking its worst one-day drop since August and the worst start to the year in 25 years.
By comparison, London’s FTSE 100 fell just 0.5 percent, France’s CAC40 0.9 percent and Switzerland’s stock index 1.7 percent. China halted its stock trading on Monday after its own main share index fell by 7 percent, triggering an automatic suspension.
China is Germany’s fourth-largest export partner after France, the United States and Britain, accounting for €74 billion, or $80.8 billion, of goods such as cars, machines and other heavy equipment.