U.S. new home sales declined to a five-month low of 350,000 unit annual rate in June after sales rose a two-year high in May, said the Commerce Department on Wednesday.
German business confidence declined more than economists forecast to the lowest level since 2010 as the deteriorating European economy weights on company earnings. Business climate index fell to 103.3 in July from 105.2 the previous month, said the Munich-based Ifo institute.
Japanese stocks retreated on Tuesday.
Swiss stocks declined on Tuesday after Moody's lowered its outlook for Germany and a report showed U.S.
The number of approved mortgages fell to 26.3 thousand in June from 29.6 thousand the previous month, said the British Banker's Association (BBA) on Tuesday. Mortgage market was affected by the Diamond Jubilee celebrations, Euro 2012 [football tournament], and the wet weather.
Manufacturing in the world's largest economy expanded at the slowest pace since late 2010 in July, shows a poll conducted by financial information firm Markit. Purchasing managers index declined for a fourth consecutive month to 51.8 from 52.5 in June.
German Finance Ministry told Germany will remain Europe's haven after Moody's Investor Services changed the nation's outlook to negative on Monday. It also said Germany remains "in a very sound economic and financial situation."
Japanese stocks fell after Moody's cut the outlook for Germany, the Netherlands and Luxembourg, increasing concerns over the Eurozone debt crisis. The Nikkei 225 retreated 0.2% to 8,492.59. The broader Topix Index slid 0.4% to 717.66.
Along with the most of European markets, the Swiss stock market pulled back due to investors' worries over troubled Spain and Greece.
U.K. stocks declined amid concerns the Eurozone debt crisis is worsening. The FTSE 100 lost 117.9, or 2.1%, sliding to 5,533.87, the biggest 2-day selloff since May.
U.S. government bond yields fell to record lows on concern the Euro bloc's debt crisis is escalating. 10–year bond yields slid to 1.44% after touching a historic low of 1.40%.
Moody's Investors Service downgraded Germany's, the Netherlands' and Luxembourg's Aaa rating to negative with increasing risks of Greek exit from the region as well as likelihood that troubled Italy and Spain will require more financial support being the main reasons for the rating cut.
Japan cut China's economic outlook, lowering its evaluation of Japan's largest trading partner. This is due to a slow expansion in China.
Swiss stocks slid from a four-month high as Spanish bond yields jumped to Euro-era highs, escalating concerns that the Eurozone debt crisis is worsening.
According to the official figures released by the Office for National Statistics on Friday, the U.K. public sector net borrowing rose more than expected to 14.4 billion pounds in June, which was 0.5 billion pounds higher than in June 2011. This raises concerns whether the U.K. will be able to meet its deficit reduction target this year.
U.S. ten-year Treasuries advanced, pushing yields to historic lows, as fears about Spain's ability to avert a sovereign bailout spark investors' demand for safe-haven fixed income assets. Ten-year yields touched 1.4347 percent, while the five-year yield fell to historic low of 0.5555 percent.
Eurozone finance ministers formally approved an agreement to loan up 100 billion euros to Spain for banks recapitalization in order to avoid a full sovereign bailout for the country.
Japanese stocks extended losses on Friday, due to disappointing news coming from the U.S. A stronger Yen is also one of the main reasons for the weakness in the stock market.
Swiss exports rose by 1.8% to CHF 16.9 billion in June, as demand for watches and chemical products increased, the Federal Customs Office said. The county's trade surplus narrowed to CHF 2.2 billion, from CHF 2.5 billion in May.
Retail sales edged up slightly by just 0.1% in June from the previous month, with one of the main reason for this being lower clothing and footwear prices, said the Office for National Statistics. The figure was against economists' expectations, who forecasted a 0.6% rise.
A number of U.S. unemployment claims surged sharply last week, rising by 34 000 to 386 000, which was well ahead of economists' expectations of 365 000 claims. The jump followed a decline of 24 000 the previous week and was the biggest gain since April 2011.
The Euro bloc's current account recorded a surplus of 10.9 billion euros in May. This reflected surpluses in the trade of goods, services and income from the previous month, whereas the deficit in current transfers rose slightly during the same period of time.
Japanese stocks advanced after the U.S. housing starts rose to the highest level since 2008, supporting Asian exporters earnings outlook. However, gains may be limited, due to the Yen's strengthening versus most of major counterparts.
The ZEW Indicator of Economic Sentiment has somewhat increased by 0.9 points to minus 42.5 in July, indicating a slight improvement of economic expectations for Switzerland, according to data released by the Center for Economic Research.