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Europe stocks lose ground as banks slip; FTSE down 0.51%

Published 04/27/2010, 05:02 AM
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Investing.com – European stock markets lost ground on Tuesday, as banks and miners slipped amid fears over Greece's debt crisis and further Chinese policy tightening.

During early European trade, France’s CAC 40 was down 0.62%; Britain's FTSE 100 slipped 0.51%; and the EURO STOXX 50 was down 0.64%

Germany's DAX fell 0.15%, despite an upbeat report on consumer sentiment in the country. Earlier in the day, the Gfk market research group said German consumer confidence should improve at a faster-than-expected pace in May.

The decline in European shares came after Germany on Monday demanded painful new austerity measures from Greece in return for emergency EU-IMF financial aid. The move sparked concern over whether the country would secure the bailout in time to avert a default.

Banks were among the worst performers, with Santander shedding 2.51% and National Bank of Greece dropping 1.59%.

Earlier Tuesday, China's biggest developer, China Vanke Co., said its first-quarter profit slumped 53% from the previous quarter amid government steps to prevent a property bubble.

The outlook for U.S. markets, meanwhile, was mixed: Dow Jones Industrial Average futures indicated a rise of 0.03%, S&P 500 Index futures pointed to a drop of 0.06% and Nasdaq 100 Index futures indicated a gain of 0.05%.

Later in the day, the Conference Board, a research group, was due to publish a closely watched index measuring U.S. consumer confidence. The Federal Reserve chairman, Ben Bernanke, meanwhile, was set to testify before the National Commission on Fiscal Responsibility and Reform in Washington D.C.

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