LONDON -- Stock markets are seeing a negative session in Europe Wednesday, with a series of weak earnings results placing pressure on the benchmark indexes. The U.K.'s Bank of England reduced its GDP growth estimate for the country to near zero in its monthly inflation report today, adding yet another headwind for the markets to fight against. U.S. equities look set to follow in Europe's footsteps at the open, with early premarket trade showing the S&P 500 (INDEX: ^GSPC ) down 0.3%.
Against this negative backdrop, a number of companies are still managing to stand out. Here are three American depositary receipts that are set to beat the S&P today.
Telecom Italia (NYSE: TI )
Shares in TI are continuing to build on recent positive news today, climbing 2.3% as demand continues following its strong earnings performance last week. The ban on its Brazilian subsidiary from selling phones, which was lifted last week, is coming to the fore again after a newspaper report in the country suggested the company purposefully cut off customers calls, despite the fact they were under the unlimited-coverage tariff known as "infinity." The company denies that the cut-offs experienced by these customers were deliberate.
Rio Tinto (NYSE: RIO )
The mining giant is up 2.2% in London despite reporting weaker-than-expected earnings results today. The company said that weak iron ore, copper, and aluminum prices led to a 22% drop in first-half profits. However, this was alleviated somewhat as net income fell from last year's $7.6 billion to just $5.9 billion, beating estimates of a fall to $5 billion. At the same time, the company increased its interim dividend by 34% to $0.725 per share, despite falling profits, giving its stock a boost today.
Randgold Resources (Nasdaq: GOLD )
Randgold is up 1.1% this morning, boosted after analysts at Canaccord Genuity said they expected the company's earnings report to show that its African mines are producing more than anticipated. Canaccord suggests that the results, due Thursday, will show a production increase of 20% for the quarter and 7% year on year to 198,000 ounces. Canaccord maintained its buy recommendation on Randgold, with a price target of 65 pounds per share.
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