BES slide, tumbling German sentiment hit markets

(Reuters) - European stocks and the euro fell on Tuesday after shares in Portugal's biggest listed bank hit a record low, while a plunge in German economic sentiment pushed up borrowing costs for some peripheral euro zone countries.

IMF warns further shocks would stall euro zone recovery

BRUSSELS (Reuters) - Any new shocks could halt the euro zone's economic recovery, spoil improving market sentiment and eventually tip the region into deflation, the International Monetary Fund warned on Monday.

BRICS bank to defy Western clout in global finances

(Reuters) - Leaders of the BRICS emerging market nations meet next week to launch a development bank and emergency reserves fund, an ambitious challenge to Western-run multilaterals that have shaped global finances since the end of World War Two.

UK construction shrinks in May, dampens some second quarter growth hopes

(Reuters) - British construction output suffered a steep fall in May, raising the prospect that overall economic growth may fall short of expectations in the second quarter.

Faltering Germany casts cloud over fragile euro zone

(Reuters) - Germany's faltering economy has cast further doubt over the euro zone's prospects for recovery this year, with no other big country strong enough to pick up the slack. Since late last year, the 18 countries using the euro have been climbing steadily out of a two-year recession.