Global stocks slip


London—Global stocks fell as renewed selling in crude that took oil to a one-month low sank energy shares, while the Department of Justice’s proposal to settle crisis-era claims against Deutsche Bank AG rattled the financial sector. The dollar advanced to its highest since July.
The S&P 500 pared a weekly gain as lenders and energy producers slid more than 0.8 percent. The Stoxx Europe 600 Index capped its worst week since June, with Deutsche Bank plunging 8.5 percent after saying the DOJ is seeking $14 billion to settle claims of mortgage-backed securities sold during the housing boom. Russia’s ruble and bonds slipped after its central bank cut interest rates. The dollar climbed amid U.S. inflation data. Germany’s 10-year yields fell below zero for the first time in a week.
Volatility returned to global financial markets in the week as central banks signal they are rethinking their approach to the monetary stimulus that’s bolstered assets from stocks to bonds for the past half decade. Yield curves steepened, commodities prices tumbled and European shares headed for the worst week since June. American assets held up as investors moved into the dollar and U.S. stocks before next week’s policy decisions from the Federal Reserve and Bank of Japan.
“Oil heading toward below the 40’s is waking everyone up that it’s probably not going to recover fully,” Brian Frank, portfolio manager at Key Biscayne, Florida-based Frank Capital Partners LLC, said by phone. “You’ve got Deutsche Bank, which is scaring everybody. People are getting fed up with central banks. There’s a lot going on today.”—Agencies