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londonworldmarketsmostlyfellfridayasdownbeatu.S.Indicatorsshowedtherecoveryintheworldslargesteconomyisweakerthanexpected.Thelatestofficialestimatesshowtheu.S.Economyexpandedby2.7percentinthefirstquarter,lessthanthegovernmentsexpectationof3percent.Togetherwithmutedforecastsfrommajorretailerssuchasnikeandpooremploymentandhousingfiguresearlierthisweek,thedatashowstheu.S.Economicrecoveryislosingsteam.Britainsftse100stockindexwasup0.4percentat5,081.53whilegermanysdaxwas0.6percentlowerat6,079.53.Francescac-40wasdown0.6percentat3,532.51.Afterasianstocksclosedlower,wallstreetlackedmomentumontheopen.Thedowindustrialsaveragewas0.1percentlowerat10,147.66whilethestandard&poors500was0.1percenthigherat1,074.20.Besidestheweaku.S.Economicindicators,investorsarealsoworryingthatworldleaders,whomeetincanadathisweekend,disagreeoverhowtoguidetheworldeconomybacktostrength."Thecohesiongenerallyevidentamongpolicymakersindealingwiththeglobalcrisisisindangerofgivingwaytoamoredivisivedebateabouthowtomanagetherecovery,"saiddaraghmaher,currencyanalystatcreditagricole.Whereaseuropeisfirmlyfocusedontacklingdeficitswithspendingcuts,theu.S.Haswarnedthattoughausteritycouldprematurelyderailtheglobalrecovery.Otherideasalsodivideworldleaders,suchasthenotionofabanklevy,whichseveralcountriesnotablythosewhosebankshavenotbeendevastatedbythe2008bankingcrisis,suchasaustraliaandchinaarereluctanttoembrace"anyhopesforagrandvisionofhowtoprotecttheglobalrecoveryareunlikelytoemerge,"saidmaher.Meanwhile,u.S.Lawmakersreachedagreementonfridayonanoverhauloftherulesthatgovernbanksandinvestmentfirms.Thebillwouldregulatebanks"abilitytotradeinderivatives,buttherulesarelessstrictthaninvestorshadfeared.Thathelpedsomeu.S.Financialstocksrise.Inasia,japansbenchmarknikkei225stockindexfell190.86points,or1.9percent,to9,737.48.Hongkongshangsengindexslipped0.2percentto20,690.79andsouthkoreaskospished0.6percentto1,729.84.Benchmarksinaustralia,malaysia,taiwan,mainlandchinaandindiawerealsointhered.Japaneseexportersretreatedamidconcernsabouttheyensongoingstrengthagainstthedollarwhileinaustralia,commodityandfinancialnameswereamongthedaysbiglosersasinvestorstookacautiousstanceamiduncertaintyaboutwhatpoliciesnewprimeministerjuliagillardcouldimplement."Ithinkingeneralstockswilltradesidewaysuntilwegetabitmoreclaritywithcompanyearningsinacoupleweeks,"saidteytzeming,atraderwithsaxocapitalmarketsinsingapore."Ithinktheglobaleconomicrecoveryisstillintactsoi"mprettyoptimisticonstocks."Thedowjonesindustrialaveragethursdayfell1.4percentto10,152.80,whilethebroaderstandard&poors500indexfellpercentto1,073.69,completingitsfirstfour-daydropsinceearlymay.Incurrencies,thedollarfellto89.37yenfrom89.54innewyorklatethursday.Theeurofellto$1.2307from$1.2326.Benchmarkcrudeforaugustdeliverywasup$1at$77.51abarrelinelectronictradingonthenewyorkmercantileexchange.Thecontractadded16centstosettleat$76.51abarrelonthursday.___associatedpresswriteralexkennedyinsingaporecontributedtothisreport.

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