Impact of weak euro lifts Europe's carmakers
But analysts, citing forex hedges by the firms, warn investors that gains will be limited and may take time
London
THIS year's 12 per cent plunge in the euro has ignited the biggest rally on record in carmakers and helped push the DAX Index above 12,000. Demand for ways to protect those gains is also soaring.
Options on BMW and Volkswagen are the most expensive in more than two years relative to those on the Euro Stoxx 50 Index and contracts on Daimler climbed to their highest price since October 2013, data compiled by Bloomberg show. All three companies have rallied more than 36 per cent this year.
