By Anna Prior
International companies trading in New York closed mixed
Wednesday as the Federal Reserve offered an unexpectedly optimistic
assessment of the U.S. economy after its policy-setting
meeting.
The Bank of New York index of ADRs fell 0.3% to 150.12.
Many investors and analysts were expecting the Fed to downgrade
its economic outlook after the budget wrangling in Washington
earlier this month, according to The Wall Street Journal. The fact
that there weren't any big changes to the Fed's assessment
underscores the view that the U.S. economy remains resilient,
boosting the likelihood of the Fed cutting back on its bond-buying
program in the coming weeks or months, though the Fed made no
changes Wednesday.
Also weighing on the index was Teva Pharmaceutical Industries
Ltd. (TEVA, TEVA.TV), which said President and Chief Executive
Jeremy Levin will depart from the company after less than a year
and a half at the helm. The Israel-based generic-drug maker said
its board "has agreed" with Mr. Levin, who became CEO in May 2012,
that he will step down from the post. Chief Financial Officer Eyal
Desheh will serve as president and CEO on an interim basis,
effective immediately. Shares fell 8.1% to $37.70.
The European index dropped 0.5% to 145.24.
Pearson PLC (PSO, PSON.LN) Wednesday issued a warning on its
full-year profit due to weak demand for college textbooks in the
U.S., as the U.K.-based publisher and education specialist
restructures to sharpen its focus on high-growth economies. Shares
fell 4.1% to $21.03.
Amarin Corp. (AMRN) said the U.S. Food and Drug Administration
has rescinded a special protocol assessment agreement for a study
related to the biotechnology company's supplemental new drug
application for its cholesterol drug Vascepa, which an FDA advisory
committee voted against earlier this month. Shares fell 14% to
$1.81.
The Asian index rose 0.1% to 150.34.
Suntech Power Holdings Co. (STP, K3ND.SG) said Wuxi Guolian
Development Co. has indicated it plans to make at least a $150
million investment in the struggling Chinese solar company to help
with its restructuring efforts. Shares jumped 10% to $1.40.
Baidu Inc. (BIDU, K3SD.SG) returned to profit growth in the
third quarter and offered a bullish revenue outlook for the fourth,
as the Chinese search giant found ways to make more money from its
network of advertisers. Shares rose 3.5% to $164.93.
The Latin American index edged down 0.1% to 305.69 and the
emerging markets index edged up 0.1% to 286.52.
Brazilian mobile-phone company TIM Participacoes SA (TSU,
TIMP3.BR) late Tuesday said its profit dropped in the third
quarter, due to the increase in debt service costs in the period.
Shares edged down 0.4% to $26.18.
Write to Anna Prior at anna.prior@wsj.com