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London's benchmark FTSE 100 index fell almost 0.9 percent to 6,111.49 points compared with Monday's close.
In the eurozone, Frankfurt's DAX 30 index sank 1.8 percent to 9,647.81 points and the Paris CAC 40 shed 1.4 percent to 4,283.14, as both indices were also hit by weak economic data.
Energy firms led losses in Asia as oil prices extended their recent losses, while most stock markets tumbled again and analysts questioned whether a recent rally may have run its course.
Investors were handed a negative lead from Wall Street, where the plunge in crude also hammered the energy sector and all but wiped out Friday's jobs-fuelled gains.