European stocks declined for a second day, extending a one-month low, amid speculation the Federal Reserve will scale back its debt-buying program.

In China, HSBC Holdings Plc and Markit Economics said their index of manufacturing in the world's second-largest economy fell to 49.2 in May from 50.4 in April. An official index for the industry, released on June 1, rose to 50.8 from 50.6.

National benchmark indexes retreated in 15 of the 17 western-European markets open today. The U.K.'s FTSE 100 slid 0.9 percent, while France's CAC 40 (CAC) dropped 0.7 percent. Germany's DAX lost 0.8 percent. Irish markets were closed for a public holiday.

Roche, the world's biggest maker of cancer drugs, slid 3.7 percent to 230.30 Swiss francs for the biggest decline since November 2011. Avastin failed to extend the survival of patients with deadly brain tumors in a study that found no advantage in using the drug as a first-line therapy against the cancer known as glioblastoma.

Munich Re, the world's biggest reinsurer, lost 2.7 percent to 140.80 euros and Hannover Re, the fourth-largest, dropped 3.3 percent to 56.39 euros.

Prague braced for the swollen Vltava River to crest today as the Czech government deployed hundreds of soldiers to avert a repeat of the 2002 floods that destroyed neighborhoods and caused $1.2 billion in damage. The German cities of Passau, about 30 miles from the Czech border, and Rosenheim declared a state of emergency and rivers in Saxony, Baden-Wuerttemberg and Bavaria burst their banks.

Ingenico SA, a French provider of payment terminals and services, decreased 3.4 percent to 50.92 euros for its biggest drop in three months. Berenberg Bank downgraded the stock to sell from hold, citing an increase in competition.

U.S. stock futures advanced as investors awaited a report that may show manufacturing was little changed in May.

Crude oil:

Nikkei 13,261.82 -512.72 -3.72%

Hang Seng 22,282.19 -109.97 -0.49%

Shanghai Composite 2,299.25 -1.34 -0.06%

FTSE 6,557.14 -25.95 -0.39%

CAC 3,954.74 +6.15 +0.16%

DAX 8,348.82 -0.02 0.00%

Crude oil $92.41 +0.48%

Gold $1394.90 +0.14%

Upgrades:

Intel (INTC) upgraded to Outperform at FBR Capital; target raised from $23 to $28

Downgrades:

Other:

Google (GOOG) reiterated at Buy at Cantor Fitzgerald; target raised from $900 to $1030

European stocks declined for a second day, extending a one-month low, amid speculation the Federal Reserve will cut back its debt-buying program and as a gauge of Chinese manufacturing fell. Asian shares dropped while U.S. index futures were little changed.

The Stoxx Europe 600 Index slid 0.6 percent to 299.08 at 10:28 a.m. in London, the lowest level since

The Stoxx 600 has still fallen 3.8 percent since May 22 as investors weighed the likelihood of the Fed taking steps to reduce monetary stimulus. Fed Bank of San Francisco President John Williams, who has emphasized the need for policy flexibility, will speak at conference held by the Swedish Riksbank at 1:20 p.m. in Stockholm.

HSBC Holdings Plc and Markit Economics said their Chinese manufacturing index, released today, fell to 49.2 in May from 50.4 in April. A reading below 50 signals contraction. An official index for the world's second-biggest economy, released June 1, rose to 50.8 last month from 50.6 in April. In the U.S., the Institute for Supply Management's factory index held at 50.7 during the month, according to the median forecast of economists.

Roche, the world's biggest maker of cancer drugs, fell 1.4 percent to 235.70 Swiss francs for the longest losing strak since November 2011. Avastin failed to extend the survival of patients with deadly brain tumors in a study that found no advantage in using the drug as a first-line therapy against the cancer known as glioblastoma.

Sanofi (SAN) lost 1.6 percent to 81.21 euros. The Paris-based drugmaker will take a $285 million impairment as iniparib failed to help patients with lung cancer. It will also halt development of an anti-coagulant, otamixaban, after the drug showed no benefit over existing therapies in a study.

Renault SA led French carmakers lower, falling 1.6 percent to 58.81 euros. Registrations of cars and light vehicles for Renault fell 17 percent in May, according to the French carmakers association. PSA Peugeot Citroen's registrations dropped 8.2 percent. Peugeot declined 1 percent to 6.76 euros.

FTSE 100 6,556.27 -26.82 -0.41%

CAC 40 3,925.45 -23.14 -0.59%

DAX 8,285.27 -63.57 -0.76%

Asian stocks fell, with the regional benchmark index heading for a third-day of losses, after improving U.S. economic reports added to concern the Federal Reserve will scale back its stimulus and data painted a mixed picture about China's manufacturing.

Nikkei 225 13,261.82 -512.72 -3.72%

S&P/ASX 200 4,888.3 -38.27 -0.78%

Shanghai Composite 2,299.25 -1.34 -0.06%

Nissan Motor Co., a Japanese carmaker that gets 34 percent of its sales in North America, slid 4 percent.

Nomura Holdings Inc. paced losses among Japanese brokerages.

Cochlear Ltd. slumped 18 percent after the maker of implant systems for the hearing impaired said sales were weaker in the second half.

China Foods Ltd., a maker of products including beverages, snacks and instant food, slumped 9 percent after saying it expects its operating profit will fall.