Oil tumbles on reserve talks, global stocks follow

US stocks fell in the wake of economic data that was slightly below expectations, with energy shares leading the market lower.

France, the United States and Britain are in talks about the possible release of strategic oil stocks to help push fuel prices lower, French ministers said, only weeks ahead of the country's presidential election.

Further pressuring prices, US crude oil inventories posted the largest weekly build since July 2010, according to data from the US Energy Information Administration.

Brent crude, still up more than 15 percent this quarter, fell 1.4 percent to below $124 per barrel, while US crude futures lost 2.2 percent, near $105. US crude is up about 6 percent so far this year.

The S&P 500 retreated from 4-year highs posted earlier this week and was battling to hold the 1,400 level. US and European equity benchmarks are still on track to post their best first quarter in 14 years.

The Dow Jones industrial average fell 71.52 points, or 0.54 percent, to 13,126.21. The Standard & Poor's 500 Index was down 6.98 points, or 0.49 percent, at 1,405.54. The Nasdaq Composite Index was down 15.39 points, or 0.49 percent, at 3,104.96.

MSCI's main global stock index fell 1 percent, retreating from an eight-month high hit Tuesday. The pan-European FTSEurofirst 300 index closed down 1 percent, with oil and bank shares among the biggest losers.

The benchmark Nikkei ended off 72.58 points, or 0.7 percent, at 10,182.57, as dealers said 195 out of 225 companies passed the deadline for purchasers of stock to get rights to dividends for the business year to March 31.

The broader Topix index dropped 0.9 percent, or 7.99 points, to 864.43, after traders expected the ex-dividend effect to shave about 8.4 points off the index