LONDON -- European stocks are starting the week with an upbeat tone Monday, still bolstered by the better-than-expected U.S. nonfarm payroll numbers last week. Sentiment in Europe is seeing added optimism after the Greek government and its creditors said yesterday that they have agreed on the need to strengthen policy efforts to support Greece's economy and help the country comply with bailout terms. The U.S. markets look set to open on a slightly more subdued note, with premarket trading showing the S&P 500
Even amid these mild gains, trading in Europe suggests a number of individual stocks are set to slide. Here are three American depositary receipts the S&P should beat today.
The pharmaceutical major is down 2% today despite the FDA's approval of the company's new oncology drug, Zaltrap, for aggressive types of colorectal cancer. Industry analysts have speculated the drug should have annual sales in the region of $300 million to $400 million, although this is below what similar drugs from rival firms are making.
Santander has been falling 0.6% in Spain, pushed by light volumes amid broader weakness in the country's banking sector. This comes as news emerges that the country is set to approve a new law creating a so-called "bad bank" to hold the toxic assets of firms such as Santander, which have led the sector to seek an EU bailout. The toxic assets, which are expected to total around 200 billion euros, will be taken from Spanish banks and held by the new agency in hopes of strengthening the individual firms' position.
The Spanish phone giant is continuing to suffer today, down more than 0.5% following news last week that the Peruvian government will be seeking better terms and demanding better service when Telefonica's licensing in the country comes up for renewal this month.
This followed news that the company planned to move its Latin American headquarters from Madrid to Sao Paulo in Brazil, which is seen by many as the first step in a larger reorganization of the different units in the region, perhaps ahead of an initial public offering (IPO).
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