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DAX Slips Into Red On Trade Worries

German stocks edged lower on Monday after chipmaker Infineon Technologies reportedly suspended shipments to Huawei Technologies, adding another dimension to the U.S.-China trade war.

Infineon shares tumbled over 3 percent while the benchmark DAX was down 77 points or 0.63 percent at 12,162 in early trade.

Lufthansa AG shares fell more than 1 percent after Ryanair reported its weakest annual profit in four years and warned of a worse trading environment.

Lender Commerzbank fell 2.7 percent. The bank announced that it has entered into a strategic partnership with GlobalTrade Corp. a Canadian application services provider, to further digitize and automate its trade finance business.

Rival Deutsche Bank lost 2.1 percent after reports that it ignored employees' calls to report multiple transactions involving entities controlled by U.S. President Trump and his son-in-law Jared Kushner to a federal financial-crimes watchdog.

In economic releases, Germany's producer prices climbed 2.5 percent year-on-year in April, faster than the 2.4 percent increase in March, figures from Destatis showed. The annual rate was expected to remain at 2.4 percent.

The euro area current account surplus dropped to a seasonally adjusted EUR 25 billion in March from EUR 28 billion in February due to a fall in primary income, data from the European Central Bank showed.

The visible trade surplus decreased to EUR 24 billion from EUR 26 billion, while services surplus rose to EUR 8 billion from EUR 7 billion.

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