European stocks fell, extending their first week of losses this month, and U.S. equity-index futures declined. The dollar weakened and Treasuries rose on speculation a sluggish economy will prompt policy makers to keep interest rates lower for longer. The Stoxx Europe 600 Index slid 1.3 percent at 7:21 a.m. in New York, leaving it 1.9 percent lower for the week. Standard & Poor’s 500 Index futures lost 0.6 percent. The dollar slipped 0.4 percent to $1.0806 per euro. The yield on 10-year Treasuries fell four basis points to 1.86 percent and bund yields touched a record low. Chinese stock-index futures tumbled after regulators clamped down on the use of shadow financing for equities and expanded the supply of shares available for short sellers. Oil in New York fell 0.8 percent to $56.23 a barrel. Stocks fell in Europe for a second day after reaching a record high on Wednesday. The value of global equities this month surpassed $70 trillion for the first time as central banks from Asia to Europe boosted stimulus while investors assessed the timing for the first U.S. rate increase since 2006. “We’ve become a bit more cautious over the past few months because markets have been rallying pretty rapidly,� said Dirk Thiels, head of investment management at KBC Asset Management in Brussels. “Expectations for an earnings rebound in Europe make sense, but valuations are pricing in a lot.� The U.K. Debt Management Office postponed a 3 billion-pound ($4.5 billion) sale of bills after an outage affected Bloomberg LP, the operator of a debt-auction system. “We are currently restoring service to those customers who were affected by today’s network issue and are investigating the cause,� Bloomberg said in a statement. China Futures FTSE China A50 Index futures for April delivery tumbled 4.6 percent in Singapore. The China Securities Regulatory Commission banned the margin trading businesses of brokerages from taking part in umbrella trusts, while the Securities Association of China said fund managers can lend shares for short selling. The Stoxx 600 is heading for its first weekly drop in three. Syngenta AG slid 4.3 percent after first-quarter sales missed analyst projections. SKF AB dropped 5.6 percent after the world’s biggest maker of bearings reported operating profit growth that fell short of estimates. Accor SA gained 2 percent after it reported a first-quarter sales increase that exceeded analysts’ estimates. S&P 500 E-mini futures expiring in June declined, indicating the index will fall. It’s heading for a 0.1 percent gain for the week. Other data Friday will probably show the University of Michigan’s consumer sentiment index probably increased in April, and a gauge of leading indicators increased in March more than the previous month, economists forecast. “The overall dynamics have slowed down,� said Benedict Goette, founder of asset-management firm Compass Capital AG in Zurich. Although still on high levels, the economic data is deteriorating. There’s a lack of demand for U.S. stocks and there could be some portfolio shifts from the U.S. because we see some deterioration of macroeconomic data, the QE has been finished. The U.S. market dynamics have been deteriorating over the last weeks.’’ The Bloomberg Dollar Spot Index, a gauge of the currency against 10 major counterparts, slid 0.4 percent amid a weekly retreat of 1.9 percent, the most since the five days to March 20. Consumer Confidence Other data Friday will probably show the University of Michigan’s consumer sentiment index probably increased in April, and a gauge of leading indicators increased in March more than the previous month, economists forecast. Investors are poring over U.S. economic reports as they try to determine the Federal Reserve’s likely path on interest rates. Officials from the U.S. central bank continued to provide conflicting signals Thursday, spurring fluctuations in Treasuries. Fed Vice Chairman Stanley Fischer sent Treasuries tumbling last session after reminding investors that the central bank wants to boost key borrowing costs. Fed Bank of Atlanta President Dennis Lockhart then halted the selloff, saying he wanted to see both falling unemployment and quickening inflation prior to the first rate increase. Data released Thursday indicated the economy may be losing momentum, with U.S. housing starts rising less than estimated in March, while jobless claims unexpectedly increased last week. The pound climbed 0.6 percent to $1.5030. S&P 500 E-mini futures expiring in June declined, indicating the index will fall. It’s heading for a 0.1 percent gain for the week. Mattel Gains Mattel Inc. rose 6.1 percent in German trading after reporting a smaller first-quarter loss than analysts projected. Earnings at S&P 500 companies probably fell 5.6 percent in the first three months of the year and will decline each quarter through September, analysts estimate. In Europe, the Stoxx 600 is heading for its first weekly drop in three after slipping from a Wednesday record. Syngenta AG slid 2.9 percent after first-quarter sales missed analyst projections. SKF AB dropped 5.6 percent after the world’s biggest maker of bearings reported operating profit growth that fell short of estimates. Accor SA gained 2 percent after it reported a first-quarter sales increase that exceeded analysts’ estimates. The cost of insuring European debt rose, with the Markit iTraxx Crossover Index of credit-default swaps on high-yield companies heading for the biggest weekly increase since December, according to data compiled by Bloomberg. The benchmark climbed 27 basis points this week to a two-month high of 270 basis points. Credit-default swaps insuring $10 million of Greek debt for five years rose to $5.3 million in advance and $100,000 annually, according to CMA. That signals an 83 percent probability of default, up from 80 percent yesterday.

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