By Anna Prior
International companies trading in New York closed lower Tuesday
as a gauge of German economic confidence missed expectations and
the Organization for Economic Co-operation and Development cut its
global growth forecast.
The Bank of New York index of ADRs fell 0.5% to 148.88.
The German ZEW sentiment survey showed that the
economic-expectations indicator rose to a four-year high of 54.6 in
November from 52.8 in October, but missed expectations of 55.
Meanwhile, the current-conditions indicator slipped to 28.7 from
October's 29.7, compared with expectations of a rise to 30.4.
Meanwhile, an OECD report said the uncertain future of U.S.
fiscal and central-bank policies poses a growing risk to a global
economic recovery, which already has been weakened by a slowdown in
growth in many developing economies.
Separately, the OECD cut its 2014 growth forecasts for the U.K.
and the euro zone and said that deflation risks for the euro area
have risen.
The European ADR index shed 0.3% to 144.03.
Financial stocks added to losses, with ING Groep NV (ING,
INGA.AE) sliding 0.3% to $12.86, UBS AG (UBS, UBSN.VX) down 0.8% to
$18.35, and the Royal Bank of Scotland Group PLC (RBS, RBS.LN)
edging down 0.5% to $10.52.
Total SA (TOT, FP.FR) said Tuesday it has shut down part of its
refinery in the Belgian city of Antwerp, after a deadly steam
explosion left two people dead. The French oil and gas company said
the blast occurred Tuesday during planned maintenance of a
gasoline-producing unit. Shares edged down 0.4% to $59.66.
The Asian ADR index slid 0.7% to 150.47.
Trina Solar Ltd. (TSL, K3KD.SG) swung to a surprise
third-quarter profit after better-than-expected demand in China
drove up company shipments and led to strong revenue growth. Still,
shares fell 5.8% to $15.25.
However, shares of Korea Electric Power Corp. (KEP, 015760.SE)
jumped as South Korea said Tuesday it will raise electricity prices
and impose taxes on the use of thermal coal in power plants as the
country struggles to meet rising power demand. The state-run power
utility will be allowed to raise electricity rates by an average
5.4% from Thursday, the Ministry of Trade, Industry and Energy said
in a statements. Shares jumped 6% to $14.96.
The Latin American index fell 1.4% to 296.15 and the emerging
markets index dropped 0.9% to 282.29.
Shares of Brazilian companies closed widely lower amid
profit-taking and worries about persistent inflation and rising
interest rates. State-run oil company Petroleo Brasileiro SA (PBR,
PETR3.BR, PETR4.BR) fell 1.6% to $17.62, while airline company Gol
Linhas Aereas Inteligentes SA (GOL, GOLL4.BR) dropped 7.7% to $4.34
and homebuilder Gafisa SA (GFA, GFSA3.BR) fell 2.4% to $2.81.
Write to Anna Prior at anna.prior@wsj.com