LONDON -- European stock markets have started the week deep in the red Monday, with financial stocks leading losses as renewed fears surrounding the eurozone sovereign-debt crisis keep the pressure on. This comes as the Spanish 10-year bond yield pushed to a euro-era high of 7.52% after news that Catalonia will be joining the list of regions in the country that will tap the bailout fund.
This week, Greek creditors including the European Central Bank, International Monetary Fund, and the European Commission, will visit Greece to determine the fiscal state of the country, which the Greek prime minister yesterday compared to that of the Great Depression in the 1930s. U.S. markets are seen following their European counterparts, with premarket trade showing the S&P 500
Even with these broad losses, there are still a number of individual names falling even more sharply. Here are three ADRs that the S&P could beat today.
Not surprisingly, Spanish banks are one of the worst-hit sectors today as attention once again turns to the sovereign-debt crisis. Banco Santander is leading losses among the majors, down more than 3%. The bank's U.K. arm also said today that it will join six other banks, including the Bank of Ireland
The German bank is also under heavy pressure today, down 3.9% after it said it would set aside as much as $1 billion for costs that may arise during the LIBOR-fixing investigation. This move both puts a financial figure on the implications to DB and inadvertently brings the market to speculate how much of the bank's potential involvement has not come to light yet.
The insurance and asset management firm is down more than 5% in London today after it reported over the weekend that its asset management arm is closing its currency desk because client appetite for currency exposure has dropped severely during the financial crisis. This comes as Aviva exits 16 divisions, including U.K.-built annuities and its South Korean unit, aiming to bolster its capital reserves as the sovereign-debt crisis worsens.
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