BEIJING ? Global stocks were mixed Thursday after investors were rattled by the European Central Bank's huge loan to bolster the continent's banks.
Asian markets fell, breaking a two-day rally. Tokyo's main index declined 0.8 percent to 8,395.16 and China's benchmark lost 0.2 percent to 2,186.3. Taipei was flat, while Hong Kong and Sydney were down.
In early European trading, Germany's DAX rose 1.3 percent to 5,866.85 and France's CAC 40 gained 1.1 percent to 3,062.51. Britain's FTSE 100 rose 1.1 percent to 5,449.03.
The Asian declines came after stocks plunged early this week on anxiety over the death of North Korean leader Kim Jong Il, then rallied on positive U.S. construction data and a strong Spanish government debt auction.
"We're seeing the markets fall on their own weight here in Asia, with no one looking to step in and buy," said Chris Weston, an institutional dealer for Australia's IG Markets.
Investors were spooked by the huge size of the ECB's euro489 billion ($639 billion) loan Wednesay to 523 banks ? its biggest credit infusion to date as authorities try to steady a financial system under pressure from Europe's debt crisis.
The loan will help to ensure banks have enough money to lend next year but cannot address the underlying problem of government debts.
"It alleviates some of the symptoms. But it's not going to change the situation long-term," said Weston.
In China, textile and securities companies led declines.
Investors are hoping Beijing eases curbs on bank lending and real estate sales to revive slowing economic growth. But analysts expect no immediate changes.
"If expectations of an easier monetary policy do not materialize, the market will remain unstable, but even if some loosening does emerge, the room for gains is still quite limited," said Liu Kan, an analyst at Guoyuan Securities in Shanghai.
Elsewhere in Asia, Sydney's S&P/ASX 200 shed 1.2 percent to 4,090.8 while Seoul's Kospi was down 0.1 percent to 1,847.49 and Singapore declined 0.3 percent to 2,664.90. Taipei's Taiex closed unchanged at 6,966.35.
European markets fell Wednesday and on Wall Street, the Dow Jones Industrial Average was off 0.5 percent. The broader S&P 500 index fell 0.6 percent, led by an 11 percent decline for Oracle Corp., which said it was struggling to close deals, reinforcing worries business and the government may cut technology spending.
European officials says banks need to raise euro115 billion ($150 billion) in new capital but investors are leery of putting more money into them. It would be politically unpopular for governments to do it and their finances are stressed as well.
Benchmark crude for February delivery was up 57 cents at $99.27 in electronic trading on the New York Mercantile Exchange.
The euro was up about 0.6 percent at $1.3106. The dollar was little changed at 78.05 yen.
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