U.S. stocks slipped Wednesday, with Microsoft, Bank of America and J.P. Morgan Chase leading the decline as investors worried about the Federal Reserve's Tuesday suggestion that the economy may need additional stimulative measures. The Dow Jones Industrial Average dropped 21.72, or 0.20%, to 10739.31, breaking a five session winning streak and marking its biggest one day drop since Sept. 7. The measure is up 7.2% for the month. Microsoft was the Dow's worst performer, off 54 cents, or 2.2%, to 24.61, as the software company launched a bond issue worth at least $4.75 billion. The Dow's financial components were also weak, with Bank of America down 23 cents, or 1.7%, to 13.42, and J.P. Morgan off 65 cents, or 1.6%, to 39.94. The Nasdaq Composite fell 14.80, or 0.63%, to 2334.55. The Standard & Poor's 500 index shed 5.51, or 0.48%, to 1134.27, led by its financial sector. The declines came as investors continued to digest a Tuesday statement from the Fed in which its officials offered their clearest signal yet that they are laying the groundwork for new steps to bolster the recovery if they don't see growth pick up soon or if inflation falls further.

European stocks ended sharply lower Wednesday, as worries about euro zone sovereign debt and the slowing pace of economic growth prompted traders to sell equities and buy gold. Spain and Italy posted particularly steep declines, with their benchmark indexes falling 1.9% and 1.8%, respectively, led lower by Banco Santander and UniCredit SpA. The Stoxx Europe 600 index declined 1.4% to 261.19. The French CAC 40 index fell 1.3% to 3,735.05 and the German DAX 30 index slipped 1.1% to 6,208.33. The U.K.'s FTSE 100 index ended down a more moderate 0.4% at 5,551.91, as surging metal prices triggered a rally in mining stocks. The Federal Reserve Tuesday said the pace of recovery in output and employment has slowed in recent months. Banco Santander, a big holder of Spanish debt, fell 2.9% after it was downgraded to neutral from outperform by Credit Suisse. Bank of Ireland dropped 2.3% in Dublin. Italy's UniCredit tumbled 4% after it said Chief Executive Alessandro Profumo has resigned.

Asian stock markets ended mixed Wednesday, with property developers driving Hong Kong shares to a fresh five month high. Japanese exporters fell on the yen's strength after the Federal Reserve said Tuesday that it was ready to do more to recharge the U.S. economy. The Nikkei Stock Average finished 0.4% lower and Hong Kong's Hang Seng Index rose 0.2%. Markets in China, Taiwan and South Korea were shut for public holidays. Japanese exporters declined as the yen strengthened to its highest levels against the U.S. dollar in a week. Among exporters, Fanuc was down 0.7% and Canon lost 1.2%. Sharp advanced 1.3% after the company announced it had agreed to buy California based solar power developer Recurrent Energy for up to $305 million. Property developers led Hong Kong shares higher after the Fed said it will keep interest rates low for an extended period. Interest rates in Hong Kong, where the currency is pegged to the U.S. dollar, move in tandem with benchmark U.S. policy rates. Shares of Sun Hung Kai Properties advanced 1.8%, Sino Land Co. rose 2% and Henderson Land Development Co. climbed 2.6%.

Base metals closed higher on the London Metal Exchange Wednesday after a weak U.S. dollar drove gains across the commodity markets and sent copper to fresh five month highs. The dollar denominated metals rallied throughout the session as the lower dollar, which plunged on the back of the Federal Reserve's dovish statement late Tuesday, made the metals cheaper for users of other currencies. LME three month copper hit an intraday high of $7,868 a metric ton its highest level since April 16. Crude oil futures settled lower Wednesday after an unexpected increase in U.S. stockpiles of oil and fuel products. Light, sweet crude oil for November delivery settled 26 cents, or 0.4%, lower at $74.71 a barrel on the New York Mercantile Exchange after rising as high as $76 earlier in the session. October futures expired at Tuesday's settlement at $73.52 a barrel. Brent crude oil on the ICE futures exchange settled 47 cents lower at $77.95 a barrel. The U.S. Department of Energy's Energy Information Administration reported a 1 million barrel build in U.S. oil inventories for the week ended Sept. 17, surprising analysts who had expected the shutdown last week of the 670,000 barrel a day Enbridge 6A pipeline to result in a draw in stockpiles. Gold futures continued their march into record territory, nearing the $1,300 mark asspeculation that the Federal Reserve will flood the market with cash enhanced gold's appeal as an alternative asset. The most actively traded gold contract, for December delivery, rose $17.80, or 1.4%, to $1,292.10 an ounce on the Comex division of the New York Mercantile Exchange, a new record settlement for a most-active contract. The precious metal also set a record intraday high at $1,298 an ounce.