Thursday was another bad day for European stocks as increasing euro strength combined with disappointing news. European stocks declined again on Thursday following news that the Eurozone’s largest bank, Santander, had to write down €18.8 billion in non-performing loans, as disclosed in the Spanish bank’s earnings report (NYSEARCA:VGK). In Germany, Destatis reported that the nation’s retail sales fell by 1.7 percent in December on a month-to-month basis.  Compared with December of 2011, retail sales sank by 4.7 percent (NYSEARCA:EWG).  Destatis also reported that Germany’s adjusted unemployment rate remained unchanged at 5.3 percent in December. The threat euro strength poses to the region’s export business continued to be a concern on Thursday.  As of 11:36 EST, the euro advanced 0.10 percent against the dollar, trading at $1.3580 (NYSEARCA:FXE). As of 11:16 EST, the Euro STOXX 50 Index fell 0.73 percent to 2,712 – staying well above its 50-day moving average of 2,649.  After breaking above its resistance level of 2,700 on January 21, the STOXX 50 is once again attempting a sustained advance above that level, which has been a barrier since the beginning of the new year.  Its Relative Strength Index is 61.36 (NYSEARCA:FEZ).  The FTSE 100 Index declined 0.58 percent to 6,286 (NYSEARCA:EWU).  The German DAX Index dropped 0.25 percent to 7,791 (NYSEARCA:EWG).  France’s CAC 40 Index fell 0.46 percent to 3,748 (NYSEARCA:EWQ).  Spain’s IBEX 35 Index took a 2.26 percent nosedive to 8,378 (NYSEARCA:EWP).  Italy’s FTSE MIB Index jumped 1.00 percent to 17,462 (NYSEARCA:EWI).   Are UK ETFs in Serious Trouble? Spain’s ten-year bond yield declined to 5.17 percent on Thursday from Wednesday’s closing level of 5.22 percent.  Spain’s two-year bond yield advanced to 2.57 percent on Thursday from Wednesday’s closing level of 2.52 percent (NYSEARCA:EWP). Italy’s ten-year bond yield declined to 4.34 percent on Thursday from Wednesday’s closing level of 4.42 percent (NYSEARCA:EWI). On London’s ICE Futures Europe Exchange, March futures for Brent crude oil advanced by 20 cents (0.17 percent) to $115.10/bbl. (NYSEARCA:BNO, NYSEARCA:USO). February Gold futures declined by $20.50 (1.22 percent) to $1,659.40 per ounce (NYSEARCA:GLD).   The New Strategy for Adding Value to Junior/Midtier Gold In Japan, stocks continued do advance on yen weakness (NYSEARCA:FXY).  The financial sector posted fat gains and the stream of quarterly earnings reports continued to remain positive for a majority of the reporting companies.  The Nikkei 225 Stock Average advanced 0.22 percent to 11,138 (NYSEARCA:EWJ). In China, stocks retreated toward the end of the session in Shanghai.  As the Shanghai Composite Index approaches a “golden cross” moment, many investors are getting anxious about a potential retreat, due to concern that the Relative Strength Index is now just above 70, in the “overbought” range.  The Shanghai Composite Index advanced 0.12 percent to 2,385 (NYSEARCA:FXI).  Hong Kong’s Hang Seng Index declined 0.39 percent to 23,729 (NYSEARCA:EWH). American stock index futures trading was just off the breakeven level ahead of Thursday’s opening bell following the disappointing report on initial unemployment claims.  The March 13 Dow Jones Industrials future slipped 0.01 percent to 13,840 as of 9:10 EST.  The March 13 S&P 500 future also dipped 0.01 percent to 1,495 (NYSEARCA:SPY).  The March 13 Nasdaq 100 future declined 0.21 percent to 2,729. Bottom line:  The major European stock indices had another bad day on Thursday, as a surprising report from Banco Santander revealed that the Eurozone’s largest bank was not as healthy as the recent reports about early paybacks on LTRO loans had led people to believe.    Sign up for Wall Street Sector Selector’s FREE Stock Market Timing Indicator!    Disclaimer: The content included herein is for educational and informational purposes only, and readers agree to Wall Street Sector Selector’s Disclaimer , Terms of Service , and Privacy Policy before accessing or using this or any other publication by Wall Street Sector Selector or Ridgeline Media Group, LLC.