Disappointing corporate earnings and continuing worries about Spain's battered economy cut stock prices on key European and U.S. exchanges Tuesday. Crude oil prices also declined.

France's CAC-40 and Germany's DAX were down more than two percent at the close, while in New York, the benchmark Dow lost more than 1.7 percent while the S&P 500 fell more than 1.4 percent.

Analysts say the declines follow weaker than expected earnings from major companies like IBM, FedEx, and McDonald's. Chemical company DuPont said it will cut 1,500 jobs after profits declined sharply.

Traders apparently saw the disappointing earning reports as a sign that the economy will slow down, cutting demand for energy. That perception is one reason that oil prices declined in key markets.