ADR Report: Shares Drop On Weakness In Overseas Markets
March 29 2012 - 5:23PM
Dow Jones News
NEW YORK (Dow Jones) -- Shares of international companies
trading in New York closed lower Thursday, as a domestic
economic-growth reading missed expectations and overseas markets
turned in a weak performance.
The Bank of New York index of American depositary shares slid
0.6% to 129.71.
The European index decreased 0.7% to 118.77. Concerns regarding
the euro zone returned, particularly with regards to Spain, where a
nationwide general strike on Thursday forced the closure of some
factories and was seen as a challenge to Prime Minister Mariano
Rajoy's austerity and reform drive.
ADRs of European financial stocks broadly declined, including a
3.5% decrease for Barclays PLC (BCS), a 3.2% drop in ING Groep NV
(ING) and Deutsche Bank AG's (DB) 2.8% slip.
HSBC Holdings PLC (HBC) said it agreed to buy Lloyds Banking
Group PLC's (LYG) retail and commercial businesses in the United
Arab Emirates, as Europe's largest bank looks to bolster its
presence in the Middle East. HSBC shares fell along with other
European financials, down 1.4%, while Lloyds dropped 2.3%.
The Asian index fell 0.7% to 128.64.
Semiconductor Manufacturing International Corp.'s (SMI) shares
closed down 0.4% after the company reported it swung to a loss in
2011 because of a double-digit decline in revenue as customers
switched to more advanced chips. Other Asia-based semicondutor
firms that notched declines included Silicon Motion Technology
Corp. (SIMO), down 3.1%, and United Microelectronics Corp.'s (UMC)
4.9% decline.
The emerging-markets index decreased 0.4% to 303.43.
Russian coal and steel group Mechel OAO (MTL) warned that as a
result of a decline in market prices for its products, it expects
to breach some financial covenants in certain credit facilities for
the year ended Dec. 31. Mechel said it was launching discussions
with its lenders to seek waivers and amendments to some of those
facilities. Mechel's stock fell 3%.
The Latin American index inched down to 368.88.
The merger between Chile's Lan Airlines SA (LAN.SN) and Brazil's
TAM SA (TAM) will likely be completed in six weeks, said LAN Chief
Executive Enrique Cueto on Thursday. The combined airline would be
the largest carrier in the region and one of the world's 10 largest
in terms of revenue. TAM's ADRs slid 0.4%.
-By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com
Mechel PAO (NYSE:MTL)
Historical Stock Chart
From Mar 2024 to Apr 2024
Mechel PAO (NYSE:MTL)
Historical Stock Chart
From Apr 2023 to Apr 2024