U.S. stocks fell for a second day, joining a retreat in global shares after a rout in fixed-income markets spread to equities.

The Standard & Poor's 500 Index fell 0.3 percent to 2,099.08 at 4 p.m. in New York. The gauge all but erased a 0.9 percent slide as the 10-year Treasury note yield retreated from the highest level since November. The benchmark index ended Friday two points shy of a record before declining to start this week.

"When you have stocks at the high end of the historical range you need better news than what we have," said Matt Maley, an equity strategist at Miller Tabak & Co. in Newton, Massachusetts. "This rise in rates isn't coming from a better economy or a fundamental reason."

The S&P 500 arrested its slide as Treasuries reversed, and energy shares advanced with the price of crude after the group Monday fell the most since January.

"The only thing has been a turnaround in the bond market, with yields lower making stocks more attractive," said Thomas Garcia, the head of equity trading at Santa Fe, New Mexico-based Thornburg Investment Management Inc. "It seems as though the equity investors don't believe rates are going up and the bond investors do. Or maybe it's just that equity investors believe it, but it will be at a slow pace."

A global fixed-income rout is spreading to other markets as the European Central Bank's quantitative easing helps push global debt valuations to extreme levels while traders grow more confident that the Federal Reserve will delay raising interest rates until later this year to allow for the economic recovery to gain momentum.

Although the timing is uncertain, the Fed's first rate increase since 2006 will usher in a "regime shift" that will stir financial markets when it occurs, said New York Fed President William C. Dudley on Tuesday.

San Francisco Fed President John Williams, who votes on policy this year, said the Fed could decide to begin raising interest rates at any policy meeting, and that he is in "wait and see mode" headed into the next gathering in June.

Polish equity market appreciated on Tuesday. The broad market benchmark - the WIG index inched up 0.07%, while the large liquid companies' indicator - the WIG30 index rose 0.18%.

Among the WIG30 index components LPP (WSE: LPP) topped the list of outperformers with a 4.03% increase as the company reported stronger-than-expected first-quarter results. In addition, ENERGA (WSE: ENG) recorded a noticeable increase, rebounding by 1.61% after five straight days of declines. On the other side of the ledger, EUROCASH (WSE: EUR) posted the largest decline, down 3.60%. Besides, the sellers were active in KERNEL (WSE: KER), HANDLOWY (WSE: BHW) and BZ WBK (WSE: BZW), which closed down a respective 1.53%, 1.47% and 1.23%.

Among the WIG sub-sector indices the measure representing the performance of the stocks from the food industry - the WIG-SPOZYW index recorded the worst result, declining 0.59 %. It was followed by the chemical industry's indicator - the WIG-CHEMIA index, which lost 0.47% as the market participants took profits in the names from the sector after gains in the previous two trading sessions. On the contrary, the IT-companies' benchmark - the WIG-INFO showed the biggest rise, up 1.19%.

Stock indices closed lower on a selloff in major government bonds. The yield on Germany's 10-year Bund rose to 0.73% on Tuesday. The yield on the 10-year Treasury note increased to 2.27% on Tuesday.

The Greek debt crisis remained in focus. Greece yesterday began the transfer of €750 million in loans to the International Monetary Fund (IMF). A payment deadline is today.

Greece has averted a possible default, but there are no reasons for optimism yet. Eurogroup said after yesterday's meeting that it will not unlock the €7.2 billion tranche of loans until the Greek government begins reforms agreed with its creditors. Athens is struggling to meet its payment obligations.

The Office for National Statistics (ONS) released its manufacturing industrial production figures for the U.K. on Tuesday. Manufacturing production in the U.K. rose 0.4% in March, exceeding expectations for a 0.3% gain, after a 0.5% increase in February. February's figure was revised up from a 0.4% rise.

Manufacturing output was driven by oil and gas extraction, which jumped 4.9% in March, the biggest rise since February 2014.

Industrial production in the U.K. climbed 0.5% in March, beating forecasts of a flat reading, after a 0.1% rise in February.

For the first quarter as a whole, industrial output was up 0.1%, driven by a 2.7% gain in the utilities sector, while manufacturing output rose 0.1%.

The National Institute of Economic and Social Research (NIESR) released its estimate of gross domestic product (GDP) for the U.K. on Tuesday. The GDP estimate rose by 0.4% in three months to April, after a 0.3% growth in three months to March.

The NIESR said that the weak economic growth in the first quarter was temporary, and it expects the U.K. economy to expand at 2.5% this year.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,933.8 -96.05 -1.37 %

DAX 1,472.41 -200.94 -1.72 %

CAC 40 4,974.65 -53.22 -1.06 %

Major U.S. stock-indexes fell for the second straight session on Tuesday amid a global bond sell-off and concerns over Greece's perilous financial situation.

Most of the Dow stocks are trading in negative area (22 of 30). Top looser - Intel Corporation (INTC, -1.10%). Top gainer - Wal-Mart Stores Inc. (WMT, +1.05%).

Almost all S&P index sectors also in negative area. Top gainer - Basic materials (+0,3%). Top looser - Utilities (-0.5%).

At the moment:

Dow 18011.00 -30.00 -0.17%

S&P 500 2093.50 -4.25 -0.20%

Nasdaq 100 4418.00 -13.25 -0.30%

10-year yield 2.27% +0.00

Oil 60.32 +1.07 +1.81%

Gold 1191.30 +8.30 +0.70%

The Organization for Economic Cooperation and Development (OECD) released its leading indicators on Tuesday. The composite leading indicator decreased to 100.1 in March from 100.2 in February. It signalled stable growth in the United Kingdom, Germany, Japan and India.

The index for the U.S. and China pointed to an easing in growth momentum.

The index for Russia continues to point to a loss in growth momentum.

The National Institute of Economic and Social Research (NIESR) released its estimate of gross domestic product (GDP) for the U.K. on Tuesday. The GDP estimate rose by 0.4% in three months to April, after a 0.3% growth in three months to March.

The NIESR said that the weak economic growth in the first quarter was temporary, and it expects the U.K. economy to expand at 2.5% this year.

The U.S. Bureau of Labor Statistics released its Job Openings and Labor Turnover Survey (JOLTS) report on Tuesday. Job openings fell to 4.994 million in March from 5.144 million in February.

February's figure was revised up from 5.133 million.

Analysts had expected job openings to decline to 5.085 million.

The number of job openings decreased for total private (4.506 million), while remained unchanged for government (488,000) in March.

The hires rate was 3.6% in March.

Total separations rose to 4.983 million in March from 4.793 million in February.

The JOLTS report is one of the Federal Reserve Chair Janet Yellen's favourite labour market indicators.

The Bank of France expects the French economy to grow 0.3% in the second quarter.

The confidence index for the manufacturing sector climbed to 98 in April from 97 in March. Factory output is expected to increase in May.

The services confidence index rose to 95 in April from 94 in March. Services activity is also expected to expand.

The confidence index for the construction sector was up to 92 in April from 91 in March. A slight decline in activity is expected in May.

U.S. stocks futures fell sharply on Tuesday and pointed to another weak session on Wall Street as a selloff in bond markets is weighing on global equities.

Global markets:

Nikkei 19,620.91 +241.72 +1.2%

Hang Seng 27,718.2 +140.86 +0.5%

Shanghai Composite 4,334.02 +128.10 +3.0%

FTSE 7,050.55 +3.73 +0.1%

CAC 5,034.21 -56.18 -1.1%

DAX 11,667.78 -41.95 -0.4%

Crude oil $59.89 (+1.22%)

Gold $1193.10 (+0.85%)

(company / ticker / price / change, % / volume)

New York Fed President William C. Dudley said in Zurich in Tuesday that he does not know when the Fed will start to hike its interest rates. He noted that when the interest rate hike by the Fed will have impact on global capital flows, foreign exchange valuation and financial asset prices. But Dudley added that market participants should be prepared for the interest rate hike if they monitor incoming data.

The New York Fed president also said that important emerging-market economies could be hurt by higher U.S. interest rates.

Dudley is a voting member of the Federal Open Market Committee this year.

Upgrades:

Downgrades:

Verizon (VZ) downgraded from Neutral to Underperform at Macquarie

Other:

Cisco Systems (CSCO) reiterated at Outperform at RBC Capital Mkts, target raised from $31 to $33

• The Australian Government forecasts a budget deficit for the 2015-16 financial year of A$35.1 billion;
  
• The Australian Government expects that the mining investment in 2015-16 will be 25.5%;
  
• The Australian Government expects that iron ore price will be $48 per ton in 2015-16;
  
• The Australian government forecasts that consumer price inflation will be 2.5% in 2015-16;
  
• The Australian Government expects the unemployment to reach 6.5% in the 2015-16;
  
• Net debt in Australia is expected to peak at 18% of GDP in 2016-17;
  
• The Australian Government expects the real GDP to grow 2.75% in 2015-16;
  
• The Australian government forecasts that a budget deficit will turn into surplus in 2019-20.
  
  

Most stock indices traded lower as the Greek debt problem still weighs. Greece yesterday began the transfer of €750 million in loans to the International Monetary Fund (IMF). A payment deadline is today.

Greece has averted a possible default, but there are no reasons for optimism yet. Eurogroup said after yesterday's meeting that it will not unlock the €7.2 billion tranche of loans until the Greek government begins reforms agreed with its creditors. Athens is struggling to meet its payment obligations.

The Office for National Statistics (ONS) released its manufacturing industrial production figures for the U.K. on Tuesday. Manufacturing production in the U.K. rose 0.4% in March, exceeding expectations for a 0.3% gain, after a 0.5% increase in February. February's figure was revised up from a 0.4% rise.

Manufacturing output was driven by oil and gas extraction, which jumped 4.9% in March, the biggest rise since February 2014.

Industrial production in the U.K. climbed 0.5% in March, beating forecasts of a flat reading, after a 0.1% rise in February.

For the first quarter as a whole, industrial output was up 0.1%, driven by a 2.7% gain in the utilities sector, while manufacturing output rose 0.1%.

Current figures:

Name Price Change Change %

FTSE 100 6,903.11 -126.74 -1.80 %

DAX 11,407.64 -265.71 -2.28 %

CAC 40 4,932.62 -95.25 -1.89 %

The Office for National Statistics (ONS) released its manufacturing industrial production figures for the U.K. on Tuesday. Manufacturing production in the U.K. rose 0.4% in March, exceeding expectations for a 0.3% gain, after a 0.5% increase in February. February's figure was revised up from a 0.4% rise.

Manufacturing output was driven by oil and gas extraction, which jumped 4.9% in March, the biggest rise since February 2014.

On a yearly basis, manufacturing production in the U.K. increased 1.1% in March, after a 1.2% rise in February. It was the largest increase since September 2014. February's figure was revised up from a 1.1% gain.

Industrial production in the U.K. climbed 0.5% in March, beating forecasts of a flat reading, after a 0.1% rise in February.

On a yearly basis, industrial production in the U.K. gained 0.7% in March, exceeding expectations for a 0.2% rise, after a 0.1% increase in February.

For the first quarter as a whole, industrial output was up 0.1%, driven by a 2.7% gain in the utilities sector, while manufacturing output rose 0.1%.

S&P/ASX 200 5,674.7 +49.50 +0.88%

TOPIX 1,602.27 +3.94 +0.25%

According to the British Retail Consortium (BRC), the U.K. total retail sales declined by 1.3% in April, after a 4.7% rise in March. It was the biggest decline since March 2011.

Retail spending excluding changes in floor space fell by 2.4% in April, after a 3.2 increase in March.

The director-general at the BRC Helen Dickinson said that "confidence among consumers is slowly improving".

According to the New York Fed's survey of consumer expectations, released on Monday, the U.S. one-year ahead inflation expectations were 2.7% in April, down from 2.9% in March. It was the lowest level since mid-2013.

The U.S. three-year ahead inflation expectations rose to 3.0% in April from 2.9% in March.

The Fed wants to hike its interest rate later this year but wants to be sure that the consumer price inflation is on track to reach its 2% target.

According to the Chartered Institute of Personnel and Development's (CIPD) survey, British employers expect to raise pay by 1.8% in the next 12 months, down from their previous expectations for a rise of 2.0% three months ago.

The labour market analyst at CIPD Gerwyn Davies said that there are only "very modest improvements" in wages in the U.K. despite the strong labour market.

"Word has spread that inflation is expected to remain very low this year so it's no surprise that many employers are hitting the pause button on pay," Davies noted.

(index / closing price / change items /% change)

Hang Seng 27,718.2 +140.86 +0.51 %

S&P/ASX 200 5,625.2 -9.32 -0.17 %

Shanghai Composite 4,334.02 +128.10 +3.05 %

FTSE 100 7,029.85 -16.97 -0.24 %

CAC 40 5,027.87 -62.52 -1.23 %

Xetra DAX 11,673.35 -36.38 -0.31 %

S&P 500 2,105.33 -10.77 -0.51 %

NASDAQ Composite 4,993.57 -9.98 -0.20 %

Dow Jones Industrial Average 18,105.17 -85.94 -0.47 %