World stock markets fell today, after new figures showed Japan's economy contracted at its quickest pace in 35 years and a weekend summit of Group of Seven finance ministers provided few concrete proposals to counter the economic crisis, according to AP. Drops in Europe followed losses in Asia, but trading volumes were subdued as U.S. markets remained closed for Presidents Day. Britain's FTSE 100 closed down 1.3 percent at 4,134.75, Germany's DAX sank 1.1 percent to 4,366.64, and France's CAC 40 dropped 1.2 percent to 2,962.22. Japan's worse-than-expected fourth quarter GDP numbers were a sobering reminder of the toll the worst economic downturn in decades is having on Asia's export-driven economies. The world's second-biggest economy shrank 3.3 percent from the previous quarter, or at an annual pace of 12.7 percent. In Europe, financial stocks dragged markets lower. Shares in Lloyds Banking Group were volatile in London following the company's revelation last Friday of larger-than-expected losses at recently acquired Halifax-Bank of Scotland and on market fears the combined company may be headed for nationalization.