BHP Billiton Ltd. and Xstrata Plc dropped more than 10 percent as copper retreated and concern deepened $2 trillion in funds for banks won't be enough to stave off a global economic contraction. Vedanta Resources Plc tumbled 13 percent as the global credit crisis threatened the purchase of Asarco LLC. ASML Holding NV tumbled 6 percent after the region's largest maker of semiconductor equipment forecast shipments that fell short of analysts' estimates.
The MSCI World Index lost 0.9 percent to 1,013.40 at 12:38 p.m. in London, following the biggest two-day rally on record. Futures on the Standard & Poor's 500 Index slipped 1.3 percent before reports that will probably show retail sales dropped and manufacturing in New York shrank.
U.K. stocks declined for the first time in three days, led by energy producers on concern a $2 trillion global push to rescue banks will not be enough to bolster economic growth. The benchmark FTSE 100 slipped 133.84, or 3.1 percent, to 4,260.37 at 12:20 p.m. in London.
German stocks dropped for the first time in three days on speculation $2 trillion in funds to be injected in banks worldwide to rescue the financial system may not avert a recession. The DAX Index retreated 104.06, or 2 percent, to 5,095.13 as of 12:39 p.m. in Frankfurt.
Asian stocks declined, a day after the region's benchmark index rallied the most in a decade, as concern earnings will deteriorate overshadowed a $2 trillion global bank rescue.
Japan's Nikkei 225 Stock Average rose 1.1 percent to 9,547.47, erasing an earlier 1.9 percent retreat. The S&P/ASX 200 Index fell 35.20 points, or 0.8 percent, to 4,300.
Indian stocks fell, after the benchmark Sensitive Index posted the biggest two-day jump in three months, on concerns lower demand will crimp earnings. The Bombay Stock Exchange's Sensitive Index, or Sensex, fell 674.28 or 5.87 percent, to 10,809.12.
China's stocks fell for a second day, led by commodity producers, on concern profits will decline as economic growth slows. The CSI 300 Index, which tracks yuan-denominated A shares listed on China's two exchanges, lost 20.26, or 1.1 percent, to 1,914.36 at the close, with commodity shares accounting for about 50 percent of the decline.
Russian stocks dropped, led by OAO Rosneft and OAO Lukoil, as sinking oil prices hurt the outlook for the economy and investors sold shares to raise cash amid the country's worst financial crisis since 1998. The Micex Index fell 8 percent to 695.24, poised for its biggest decline in four days.