Shares slide as sentiment ebbs on rate fears, yields rise

On Wall Street, the Dow Jones Industrial Average fell 0.81%, the S&P 500 .lost 1.08% and the Nasdaq Composite dropped 0.73% The pan-European STOXX 600 index fell 0.57% as concerns about growth weighed on banking shares, while MSCI's gauge of stocks across the globe .MIWD00000PUS fell 0.56%.

NEW YORK{ U.S. and European stocks slid on Wednesday as the outlook for rate hikes sullied sentiment, while bond yields rose after euro-zone gross domestic product beat expectations, adding to bets of a more hawkish European Central Bank.

Trading was choppy as investors awaited an ECB meeting on Thursday and U.S. consumer price data on Friday that will highlight the dilemma they face. As central banks tighten policy to tame inflation, it could spark an economic slowdown.