A look at economic developments and activity in major stock markets around the world Tuesday:

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ROME _ An Italian news agency says Premier Silvio Berlusconi is heading to see Italy's president after he failed to get enough support in parliament to stay in power much longer.

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ATHENS, Greece _ Power-sharing talks between Greece's prime minister and the opposition leader dragged on, with senior government officials saying a deal was close but European leaders ratcheting up the pressure for a resolution.

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LONDON _ Stock markets pulled back from gains earlier after a vote in the Italian Parliament showed the prime minister has lost the support of the majority and called into question Rome's ability to rein in its debts.

France's CAC-40 rose 1.3 percent, while Germany's DAX climbed 0.6 percent. The FTSE index of leading British shares rose 1.0 percent.

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TOKYO _ In Asia, Japan's Nikkei 225 index fell 1.3 percent. South Korea's Kospi swung into negative territory midday, to close 0.8 percent down.

Hong Kong's Hang Seng was nearly unchanged, closing less than 1 point higher. Mainland Chinese shares slipped, with the benchmark Shanghai Composite Index edging down 0.2 percent while the smaller Shenzhen Composite Index dropped 1 percent.

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BRUSSELS _ The European Union's internal markets commissioner says the bloc is working on a mechanism to guarantee lending between banks in an attempt to prevent another credit crunch.

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LISBON, Portugal _ A strike by Portuguese public transport workers forced the cancellation of almost all national rail services and shut down the Lisbon subway for hours in the latest major protest against austerity measures designed to reduce the country's crippling debt burden.

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NICOSIA, Cyprus _ International ratings agency Moody's downgraded Cyprus' three most Greece-exposed commercial banks because of what it considers to be the small island nation's diminished ability to back them up.

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BERLIN _ German exports rose slightly in September compared with the previous month despite increasing signs elsewhere that the economy is slowing, official figures showed.

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