LONDON -- European equity markets are trading higher for the most part today as a strong close on Wall Street and positive financial results from major banks boost sentiment. Fed Chairman Ben Bernanke failed to give the desired shot of additional stimulus measures in the first part of his semiannual speech to Congress yesterday, instead merely outlining the options if the economy continues not to grow. The second half of the report today is expected to show much of the same. Premarket trade shows the U.S. is likely to be somewhat cautious at first today, with the S&P 500 (INDEX: ^GSPC ) set to open 0.4% lower.
Even with this caution, however, the benchmark index is still likely to outperform a number of European stocks that are suffering. Here are three ADRs the S&P should beat today.
Nokia (NYSE: NOK )
The Finnish phone manufacturer is one of the worst-performing stocks for the third consecutive day, still suffering after AT&T said earlier this week that it will slash the price of Nokia's new Lumia 900 handset in half due to lack of demand.
News has also emerged that a joint venture between Nokia and Siemens (NYSE: SI ) will be cutting around 160 jobs in South Africa -- some 28% of it workforce in the country -- as part of a strategy by the two companies to reduce costs and focus on mobile broadband. Nokia shares are currently down 4%, while Siemens shares are just 0.4% lower.
Alcatel-Lucent (NYSE: ALU )
The French communications manufacturer is seeing a second day of sharp losses, down 3.4% after it announced a 40 million euro second-quarter operating loss yesterday. This led the company to abandon its full-year profit target, saying it will not be able to beat last year's 3.9% operating profit margin.
Reed Elsevier (NYSE: RUK )
The publisher of academic journals is down 2.6% in London Wednesday after the European Commission yesterday backed calls for free access to publicly funded research. Fears are that companies such as Reed, which charge for access to their journals, will fall victim to the availability of free research.
That said, the extent to which this will be a problem is being questioned by many analysts, who note that the EU only funds an estimated 3% of global scientific literature.
As usual, this morning's European trading saw some stocks lose ground -- and perhaps provide some European buying opportunities. Indeed, legendary investor Warren Buffett has recently spent more than $1 billion buying a European large-cap stock that's currently trading well below its 2012 high. If you want to know what Mr. Buffett has bought within Europe, this special Motley Fool report -- "The One European Share Warren Buffett Loves" -- reveals everything, including the price he paid. You can download the report today for free, but hurry -- it's available for a limited time only.
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