Investing.com – European stocks plunged Tuesday, as fears of slowing Chinese economic growth weighed on equities.
Near the close of European trade, the EURO STOXX 50 traded down 1.22%, France's CAC 40 fell 1.32%, while Germany’s DAX gave back 1.39%. Meanwhile, in the U.K. the FTSE 100 traded down 1.17%.
The stock sell off was triggered when BHP Billiton stated that Chinese steel production is slowing causing concerns about growth in the world’s second largest economy.
In the U.S., governmental data revealed that housing starts dropped in February, but the number of building permits issued rose to the highest level since October 2008.
The Commerce Department stated housing starts declined 1.1% last month to a seasonally adjusted 0.70 million from a revised 0.71 million units in January. Economists had forecast housing starts little changed at a 0.70 million-unit rate.
Building permits jumped 5.1% to a seasonally adjusted 0.72 million, above expectations for a modest 0.6% gain to 0.69 million.
In the euro zone, investors were watching the outcome of talks between Italian Prime Minister Mario Monti and union leaders regarding reforms to the country’s labor market, as Monti attempts to turn around the euro zone’s third largest economy.
Lowered Chinese auto demand resulted in BMW falling 5%, Mercedes Benz giving back 4.4% and Volkswagen dropping 4.4%.
BHP Billiton and Rio Tinto gave back 4.1% and 4.2% respectively on the expected Chinese economic slowdown.
Banking shares also traded lower with Deutsche Bank giving back 1.8% and HSBC Holding dropping 2.2% on the session.
In U.S. midsession trade, stocks are lower with the Dow down 0.46, the S&P 500 off by 0.45% and the Nasdaq Composite falling 0.45%.
Investors are awaiting U.K. policy meeting minutes and U.S. existing home sales and crude oil stockpiles on Wednesday.
Near the close of European trade, the EURO STOXX 50 traded down 1.22%, France's CAC 40 fell 1.32%, while Germany’s DAX gave back 1.39%. Meanwhile, in the U.K. the FTSE 100 traded down 1.17%.
The stock sell off was triggered when BHP Billiton stated that Chinese steel production is slowing causing concerns about growth in the world’s second largest economy.
In the U.S., governmental data revealed that housing starts dropped in February, but the number of building permits issued rose to the highest level since October 2008.
The Commerce Department stated housing starts declined 1.1% last month to a seasonally adjusted 0.70 million from a revised 0.71 million units in January. Economists had forecast housing starts little changed at a 0.70 million-unit rate.
Building permits jumped 5.1% to a seasonally adjusted 0.72 million, above expectations for a modest 0.6% gain to 0.69 million.
In the euro zone, investors were watching the outcome of talks between Italian Prime Minister Mario Monti and union leaders regarding reforms to the country’s labor market, as Monti attempts to turn around the euro zone’s third largest economy.
Lowered Chinese auto demand resulted in BMW falling 5%, Mercedes Benz giving back 4.4% and Volkswagen dropping 4.4%.
BHP Billiton and Rio Tinto gave back 4.1% and 4.2% respectively on the expected Chinese economic slowdown.
Banking shares also traded lower with Deutsche Bank giving back 1.8% and HSBC Holding dropping 2.2% on the session.
In U.S. midsession trade, stocks are lower with the Dow down 0.46, the S&P 500 off by 0.45% and the Nasdaq Composite falling 0.45%.
Investors are awaiting U.K. policy meeting minutes and U.S. existing home sales and crude oil stockpiles on Wednesday.