Around the World's Markets: FRANKFURT

Friday 02 July 1999 23:02 BST

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THE DAX share index edged higher yesterday afternoon, shrugging off US jobs numbers to briefly make a new high for the year despite a sharp drop in Volkswagen shares. The DAX at one stage broke through 5,510 points to set a fresh year high before retreating.

Volkswagen was the leading DAX decliner, falling 2.6 per cent to 61.75 euros as a Deutsche Bank downgrade to "market performer" from "buy" more than offset news on Thursday that VW had posted its best US sales in 26 years.

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