Santander profits hit by writedown on property loans Brazil has rolled out more than a dozen stimulus measures since a sharp slowdown in late 2011 in an attempt to accelerate a sluggish recovery. Santander has been tarnished by its home country's woes as investors fret about the future of a banking sector which is being recapitalised due to a €100bn European credit line. The bank passed an independent audit of the sector with flying colours and a massive capital surplus in September and will not receive funds from the bailout. Yet credit ratings agency Moody's rates the bank just two notches above junk - although one rank higher than the sovereign. "Short term, the stock's performance continues to be driven by investors' sentiment towards the sovereign," said Antonio Ramirez at broker KBW. Shares have risen around 10.5pc in the year to date, a strong performance compared with Spanish competitors but below European peers up 15pc in the same period.