Asian markets were lower in overnight trading, with the Shanghai Composite falling 0.42 percent. Europe is lower on concerns about Greece securing another bailout and U.S. stocks are also trading down.
Moody's warned it could downgrade the long-term credit ratings of 17 of the world's largest banks. Credit Suisse, Morgan Stanley and UBS could be downgraded by up to three notches. Don't Miss: SocGen - Here's where the world is heading in 2012 >
Spain held a strong bond auction this morning, selling over €4 billion in bonds and meeting its target, but paying more than it did at previous sales. France raised €10.2 billion at a bond auction for medium and long term debt, meeting the top end of its target range. This comes after Moody's downgraded Spain and changed its outlook on France to negative. Meanwhile, Spain's stock market regulator lifted a six-month ban on short-selling of financial stocks.