Global stocks fell on Friday after a drop in euro zone inflation showed the recovery is still weak there and concern persisted over the outlook for emerging economies.
Official figures showed the inflation rate in the 18-country euro zone dropped to 0.7 percent in December from 0.9 percent the previous month. That is far below the European Central Bank's target of just under 2 percent and has raised expectations of a rate cut next week.
The "data maintain the pressure on the ECB to do more to ward off deflation risks, perhaps as soon as next week," said Jonathan Loynes, chief European economist at Capital Economics.
(Read more: US stock futures point to a sharp drop at the open)
The figures added to jitters in markets over developing economies. Many of them have seen their currencies slide sharply over the past week on concerns that growth will slow and money will flow out of their economies as the U.S. Federal Reserve tightens its monetary policy, draining on global liquidity.