Greek Failure, European ADRs Leading Sell-Off (ALU, MT, BHP, STD, CS, DB, FTE, NOK, ERIC, NBG, SI, TI, UBS)

European stocks are leading the markets this morning and the direction is lower.  Greece projected that 2012 deficits will be above plan and the nation has effectively admitted that it will not meet deficit reduction targets.  This is raising new fears all over again that Greece will not be eligible to receive its previously agreed to bailout funds.  It is not all bad news though as some shares are still trading higher in places you might not expect.  These are the ADRs of mostly European companies which have traded this morning and are leading the markets lower:

Alcatel-Lucent (NYSE: ALU) is indicated down over 6% at $2.65 but shares are down almost 9% in local trading in Paris.

Arcelor Mittal (NYSE: MT) is down “only” 1.5% at $15.68 and BHP Billiton Ltd. (NYSE: BHP) is down “only” 0.7% at $65.98 this morning.

Banco Santander, S.A. (NYSE: STD) in Spain is indicated down marginally at $8.02 versus a close of $8.04 in New York although we would note that perhaps that is not the right level because shares are down almost 3% in local trading in Madrid.

Credit Suisse Group (NYSE: CS) is down 3.2% at $25.40.

Deutsche Bank AG (NYSE: DB) is down 1% at $34.24; shares are down 2.5% in Frankfurt.

France Telecom (NYSE: FTE) is down 2.2% at $16.00 in New York; shares are down almost 2% in local trading in Paris.

Nokia Corporation (NYSE: NOK) is actually bucking the trend and shares are up 1.8% at $5.76 and LM Ericsson Telephone Co. (NASDAQ: ERIC) is down only 0.5% at $9.50.

National Bank of Greece SA (NYSE: NBG), stuck right in the middle of the woes of the PIIGS is down 5.1% at $0.74 and that matches its 52-week low and multi-year low. 

Siemens AG (NYSE: SI) is down 0.5% at $89.33 on thin volume, but shares are down 1.75% in local trading in Frankfurt.

Telecom Italia SpA (NYSE: TI) is actually not down with the PIIGS this morning.  Shares are up 0.1% in local trading in Milan.

UBS AG (NYSE: UBS) is down almost 2% at $11.22; shares are down 2.75% % in local markets.

The CAC in Paris is down 2.4% and the DAX in Frankfurt is down 2.6%; S&P futures are now indicated down only $3.50 and the DJIA futures are now indicated down only about 35 points.

JON C. OGG