The yield on 10-year Spanish government bonds surged 25 basis points on Monday to 7.46%, a level that saw other European nations needing a financial bailout. Spain's IBEX was falling about 3%. BusinessInsider noted Monday that Spain continues to be in deep debt trouble after reports surfaced that certain Spanish regions would be requesting bailout funds from the government.
U.S. stocks finished sharply lower Friday as the soaring Spanish borrowing costs renewed concerns about Europe's debt crisis. The Dow Jones Industrial Average declined 121 points, or 0.93%, to close at 12,823 on Friday. The year-to-date gain sits at 4.95%. The S&P 500 fell 14 points, or 1.01%, to settle on Friday at 1363. The Nasdaq sank 41 points, or 1.37%, to finish at 2925.
NRG Energy (NRG - Get Report) said Sunday it reached a deal to buy GenOn Energy (GEN) for $1.7 billion in stock. Seeking Alpha noted that the merger creates the largest competitive power generation company in the U.S.
McDonald's (MCD - Get Report), the fast-food giant, is expected by analysts Monday to post second-quarter profit of $1.38 a share on sales of $6.94 billion.
Other companies on the earnings docket Monday include Texas Instruments (TXN), Halliburton (HAL) and Hasbro (HAS).
Germany's Bayer and Onyx Pharmaceuticals (ONXX) said Monday that Tarceva in combination with Nexavar tablets for the treatment of hepatocellular carcinoma, a type of liver cancer, failed in further improvement of overall survival. Bayer and Onyx jointly produce Nexavar. Tarceva is sold by Astellas Pharma and Roche.
DreamWorks Animation (DWA - Get Report)reached a deal to buy Classic Media for $155 million. Classic Media owns such titles as "Casper," "Rudolph the Red-Nosed Reindeer" and "Lassie."
Ernie Els won the British Open on Sunday when Adam Scott bogeyed the final four holes. -- Written by Joseph Woelfel >To contact the writer of this article, click here: Joseph Woelfel >To submit a news tip, send an email to: firstname.lastname@example.org.