European equities markets were lower Monday after Moody’s Investors Service downgraded Ireland’s credit rating from Aa1 to Aa2, and after the US National Association of Home Builders and Wells Fargo reported that their index of home builder confidence is at 14 in its last reading, its lowest in 15 months.
The FTSE 100 was down 0.2 percent to 5,148.28 in London, while the FTSE 250 fell 0.5 percent to 9,726.48.
Homebuilders were lower, led by Redrow (LSE: RDW), with a decline of 5.71 percent while Barratt Developments (LSE: BDEV) fell 5.39 percent.
In a related sector, online real estate search site Right move (LSE: RMV) was down 4.76 percent.
International Power (LSE: IPR) was up 10.57 percent to lead gains on the 100 after it confirmed it is talks with GDF Suez (Euronext: GSZ), with the French power company showing interest in buying a controlling stake in the British electricity generator.
In other mergers and acquisitions news, Tomkins PLC (LSE: TOMK) said it has received a £2.87 billion ($4.37 billion) takeover offer from a Canadian consortium, sending the engineering group up 27.75 percent for the biggest gain by far on the 250.
BP (LSE: BP) led declines on the 100, falling 4.53 percent after talks to sell some of its assets to Apache Corp (NYSE: APA) hit snags over the weekend, and after a suspected leak in the sea floor around its damaged well in the Gulf of Mexico resulted in orders from the US government for BP to submit a plan to reopen the seal put on the well last week.
Aquarius Platinum (LSE: AQP) was the biggest decliner in a mixed mining sector, falling 11.68 percent to lead declines on the 250, while Rio Tinto (LSE: RIO) lead gains in the sector as it added 1.45 percent.
The FTSE Eurofirst 300 was down 0.55 percent to 1,007.32 while the CAC-40 fell 0.4 percent to 3,486.33, the Dax was 0.52 percent lower to 6,009.11 and the IBEX dropped 0.62 percent to 9,929.8.
Most markets in the Asia-Pacific region were lower, although the Shanghai Composite added 2.11 percent to 20,090.95 after broker Citic Securities (SSE: 000030) helped developers, saying that local authorities in China will be building more low-income housing.
Poly Real Estate Group Co (SSE: 000048) was up 2.9 percent and China Merchants Property Development Co (SZSE: 000024, 200024) added 3.6 percent on the Shenzhen exchange.
Declines in other regional markets came on continuing concerns that global economic growth is not proceeding adequately after several big US companies, including Bank of America (NYSE: BAC) and General Electric (NYSE: GE), issued disappointing quarterly results last week.
The Sensex dropped 0.15 percent to 17,928.42 in India, the Taiex was down 0.19 percent to 7,649.83 in Taiwan, South Korea’s Kospi fell 0.37 percent to 1,731.95, the Straits Times Index was 0.42 percent lower to 2,945.42 in Singapore, and the Hang Seng was down 0.79 percent to 20,090.95 in Hong Kong.
The Sydney Ordinaries fell 1.45 percent to 4,372.7 in Australia, while the S&P/ASX200 was down 1.46 percent to 4,358.3 as the new Prime Minister set a general election for 21 August.
Markets in Japan were closed in observance of Marine Day.
New York markets were up in midday trade, but they were down from bigger gains earlier in the session after the report showing that home builder confidence is at its lowest since April 2009.
The Dow Jones Industrial Average was up 0.45 percent to 10,143.69 at just before 1 p.m. local time in New York, while the S&P 500 was 0.48 percent higher to 1,069.99 and the Nasdaq Composite had added 0.52 percent to 2,190.31.
Crude oil prices were up slightly, with West Texas Intermediate crude trading at just above $76 per barrel in midday trade, while precious metals prices were lower but copper prices had advanced.
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