Stocks slip on US data
Global stocks fell on Tuesday after data showed the US economy grew more slowly than expected in the third quarter, while the euro rose against the dollar after the IMF unveiled a liquidity line that stemmed fears about the spread of the European debt crisis.
US stocks fell for a fifth day in a row on Tuesday, having lost more than 5 percent over that period as borrowing costs in Spain hit another record high.
The Dow Jones industrial average was down 53.59 points, or 0.46 percent, at 11,493.72. The Standard & Poor's 500 Index was down 4.94 points, or 0.41 percent, at 1,188.04. The Nasdaq Composite Index was down 1.86 points, or 0.07 percent, at 2,521.28.
Meanwhile, European shares declined for a fourth consecutive session, with banks falling after record-high yields at a Spanish debt auction showed investors are far from convinced the euro zone is on track to solve its debt crisis.
The FTSEurofirst 300 index of top European shares provisionally closed down 0.4 percent at 916.07 points.
Stocks rose almost across the board, with those that suffered most in the previous session bouncing more. The STOXX Europe 600 Banking Index rose 0.6 percent. France's BNP Paribas rose 1.2 percent.
But the banking sector has lost more than 38 percent in 2011, with many banks having to take severe writedowns on exposure to euro zone sovereign debt.
The Nikkei average pared losses after tumbling to an 8-month low as riskier assets were sold on a lack of progress in U.S. and European debt problems, but investors said the index may still fall to depths plumbed in the wake of the March earthquake.
The Tokyo Stock Exchange and Osaka Securities Exchange Co Ltd announced they would merge to create the world's third-largest bourse, sending shares in the Osaka bourse higher.
Market participants said there was reluctance to push prices down further ahead of a Japanese holiday on Wednesday but that amid overseas debt woes, risks were firmly on the downside and a test of the March 15 low of 8,227 was in sight.
The Nikkei dropped 0.4 percent in thin trade to 8,314.74 after earlier falling as low as 8,261.01, well below support at the Oct. 5 low of 8,343.01.
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