European stocks slumped for a fourth straight day, with commodity shares dropping as the U.S. dollar continued to march higher. Shares of commodity producers were stung as the dollar extended gains against its rivals, which puts pressure on dollar-denominated oil and metals prices.

U.S. stocks finished flat on Monday as gains in consumer-discretionary and materials shares were mitigated by weakness in utilities and energy.

Most stock markets in Asia fell Tuesday as investors weighed when the U.S. central bank might next raise interest rates. Investors were being cautious before U.S. Federal Reserve Chairwoman Janet Yellen was scheduled to speak Tuesday in New York on her views of the U.S. economy and monetary policy. Her comments could offer hints to when the Fed expects to raise rates, a move that Fed official James Bullard recently said could be as soon as April or June.

Based on MarketWatch materials