ADR Report-Foreign stocks slide as banks, economy weigh

Mon Apr 20, 2009 10:23pm BST
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By Rodrigo Campos

NEW YORK, April 20 (Reuters) - Overseas shares traded in the United States tumbled on Monday as a rise in troubled loans in Bank of America and signs of an economy that was cooling further discouraged investors.

Bank shares were some of the worst hit, after Bank of America (BAC.N: Quote, Profile, Research) said its acquisition of Merrill Lynch & Co helped quarterly profit but that its results included a big increase in troubled loans, sending the company's shares down nearly 25 percent. For details see [ID:nN20380236]

New York-traded shares of Deutsche Bank (DB.N: Quote, Profile, Research) plunged 14.2 percent to $47.66 while India's ICICI Bank (IBN.N: Quote, Profile, Research) and Japan's Mitsubishi UFJ Financial Group (MTU.N: Quote, Profile, Research) lost 7.2 percent and 8.2 percent respectively.

The Bank of New York Mellon's index of leading American Depositary Receipts (ADRs) tumbled 4.9 percent while the benchmark S&P 500 index .SPX lost 3.6 percent.

Adding to the negative sentiment, the Conference Board, a nonprofit research group, said its leading index for the U.S. economy declined 0.3 percent in March, indicating the recession could extend through the summer. [ID:nN20385609]

The economic gloom hit commodities prices and ADRs of energy companies fell, tracking a slide in crude oil futures CLc1. U.S.-traded shares of Brazilian energy company Petrobras (PBR.N: Quote, Profile, Research) slid 5.7 percent to $32.16, Italy's Eni SpA (E.N: Quote, Profile, Research) fell 4.4 percent to $37.24 and PetroChina (PTR.N: Quote, Profile, Research) lost 4.1 percent to $85.21. Light crude futures settled down 8.8 percent or $4.45 per barrel at $45.88.

The Reuters-Jefferies CRB index of commodities .CRB fell 3.9 percent.

The Bank of New York Mellon's three regional indexes --Europe , Asia and Latin America -- fell, with declines ranging from 4 percent to 5.4 percent. (Editing by Chizu Nomiyama)

 
 
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