Stock markets in Europe closed mostly higher on Monday, but Wall Street turned lower, despite an announcement that drug maker Merck & Co is to buy Schering-Plough for around $US41 billion.
The World Bank issued a forecast at the weekend that the global economy will shrink this year for the first time since World War II.
The FTSEurofirst 300 index of top European shares closed 0.7% lower at 657.30 points. The index is down 21% to date this year.
However, in Frankfurt, the DAX index ended at 3,692.03 points, up 25.62 or 0.7%.
In Paris, the CAC-40 index closed at 2,519.29 points, down 15.16 or 0.6%. The Swiss market index closed at 4,307.67 points, down 3.94 or 0.09%.
In Milan, the All Share Mibtel index closed at 10,544 points, down 196 or 1.82%.
In London, the FTSE 100 was 11.67 points higher, 0.3%, at 3,542.4. The British government has confirmed it is taking a majority stake in Lloyds Banking Group PLC.
Other markets
In Tokyo, the Nikkei fell 87.07 points, 1.21%, to 7,086.03 - its lowest close since October 1982.
In Hong Kong, the Hang Seng index closed down 4.84% at an official closing level of 11,344.58. Turnover reached HK$35.8 billion.
In Australia, the S&P/ASX 200 index was up 9.0 points, 0.29%, at 3,154.5. The All Ordinaries index gained 10 points, or 0.32%, to 3,121.7.
In New Zealand, the NZX50 index was down 2 points, or 0.08%, to 2469 on turnover of $90 million.
Main stocks were mixed: Telecom was down 2 cents to $2.37 and Fletcher Building also lost 2c to $5.13. Contact Energy gained 10c to $5.65.
