(Corrects paragraph 7 to show November would be 6th month, not 5th month, of losses for MSCI emerging markets index)
* Economy worries hit markets, China bounce fizzles
* European stocks down 2.5 percent, Japan down 3 percent
* Dollar weaker, commodities slide, oil off 2.5 percent
(Updates prices, adds German economic sentiment)
By Jeremy Gaunt, European Investment Correspondent
LONDON, Nov 11 (Reuters) - Economic gloom overpowered financial markets again on Tuesday, sending stock and commodity prices lower as ebullience about China's $600 billion stimulus plan fizzled out.
Bad news from corporate America -- General Motors shares at a 62-year low, Goldman Sachs seen posting a first-ever quarterly loss, and No. 2 U.S. electronics retailer Circuit City's bankruptcy filing -- overwhelmed any optimism.
The dollar was generally weaker with the euro getting a brief bounce from an improvement in German economic sentiment.
"The support we saw in the early part of yesterday's session off the back of the Chinese economic stimulus plan is looking to have been rather short lived," Matt Buckland, dealer at CMC Markets, wrote in a note.
"Worrying corporate news from the U.S. plus suggestions that the recession will be longer and deeper than previously thought are adding to the downside."
The pan-European FTSEurofirst 300 stock index was down 2.4 percent, following a 3 percent loss on Japan's Nikkei average.
Emerging market stocks as measured by MSCI lost around 3.3 percent, taking that index into negative territory in what would be the sixth month in a row for losses.
The emerging market index has lost nearly 55 percent of its value so far this year while its developed market counterpart has lost 41 percent.
The worries about economic and corporate growth also spread to commodities, which had rallied strongly on Monday because of the Chinese stimulus package.
Oil lost 2.5 percent to about $60.70 a barrel. Gold pared 0.5 percent to around $742 an ounce and London copper tumbled 2.3 percent.
Demand for commodities -- and hence prices -- generally falls when economies slow.
WEAKER DOLLAR
The dollar was generally weaker. It was down about a quarter of a percent at 97.74 yen and the euro gained about 0.2 percent to $1.2731.
"Major reactions in the market may be delayed until after the outcome of the G20 meeting at the weekend," said Hideki Amikura, deputy general manager of the forex section at Nomura Trust Bank on Tokyo.
Leaders of the Group of 20 developed and biggest emerging economies are to meet next weekend in Washington to discuss the deteriorating world economy.
Euro zone government debt was mixed.
Two-year bond yields were 3 basis points lower at 2.374 percent, with 10-year yields 3 basis points higher at 3.701 percent. (Editing by Mike Peacock)