A look at economic developments around the globe

AP News
|
Posted: Dec 06, 2011 5:45 PM
A look at economic developments around the globe

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

___

BERLIN _ Plans by France and Germany to save the euro through closer European unity faced a serious challenge from Britain, as deep divisions emerged between the 17 EU nations that use the euro and the 10 others that don't.

___

ATHENS, Greece _ Greece's lawmakers were set to pass next year's austerity budget, extending tough spending cuts that have already left Greeks struggling as the country tries to slash its debts and pull itself out of a severe recession.

___

LONDON _ Global markets were muted after a rating agency warned it could downgrade the debt of most eurozone countries, raising pressure on European leaders to find a lasting solution to their crisis this week.

In Germany, the DAX stock index dropped 0.9 percent, while France's CAC-40 lost 0.2 percent. The FTSE index of leading U.K. shares rose 0.3 percent.

___

TOKYO _ In Asia, Japan's Nikkei 225 dropped 1.4 percent. South Korea's Kospi fell 1 percent and Hong Kong's Hang Seng lost 1.2 percent. Australia's S&P/ASX 200 fell 1.4 percent.

___

ROME _ Premier Mario Monti urged lawmakers to accept his financial rescue package, including new and higher taxes, saying Italy had risked running out of money to pay state salaries and pensions.

___

BERLIN _ Industrial orders in Germany rebounded sharply in October, helped by a strong increase in demand from the eurozone and other foreign countries.

___

TORONTO _ Canada's central bank left its key interest rate unchanged and suggested it won't cut rates soon despite predicting that a recession in Europe will be more pronounced than previously thought.

___

SYDNEY _ Australia's central bank cut its benchmark interest rate by a quarter percentage point, the second such move in as many months, as concern mounts over the global economy.

___

BRASILIA, Brazil _ Brazil's government says economic growth in Latin America's biggest country stalled in the third quarter.

___

WARSAW, Poland _ Polish leaders have unveiled a 2012 budget that lowers earlier predictions of economic growth _ an acknowledgment that Europe's debt crisis is impacting the country.

___

KABUL, Afghanistan _ Afghanistan opened bids on billions of dollars' worth of copper and gold deposits in four areas of the country that together are roughly half the size of the Grand Canyon.

___