The cost of insuring against the risk of default by Greece, Portugal and Spain grew ahead of a key meeting of European heads of state later this week.
European markets gyrated but ended mostly higher as investors continued to grapple with fiscal and economic problems along the euro zone's periphery. Greece remained an outpost of weakness, with the ASE Composite down 3.9%.
Asian markets declined on uncertainty over sovereign debt in the euro zone.
Group of Seven financial leaders tried to tamp down continued anxiety about the global economic recovery, with officials promising continued stimulus efforts and European leaders pledging to address public debt problems.
Major European indexes ended at their lowest levels in three months as mounting concerns about Europe's weaker economies overwhelmed any signs of hope from the latest U.S. jobs figures. Athens skidded 3.7%.
Asian markets tumbled Friday, dragged down by sharp losses on Wall Street as heightened concerns over European debt hurt demand. The Nikkei fell 2.9%.
While U.S. stocks ended Friday with gains, commodities and the euro were down sharply on fears about the potential global fallout from Europe's sovereign debt crisis.
While Greece and Portugal have felt investors' fire, now larger economies like Spain are starting to come under pressure amid worries about their weakened public finances.
Concerns about debt levels in the euro-zone's peripheral countries knocked investor sentiment, sending stock markets and the euro sharply lower.
The cost of insuring Greek and Portuguese debt jumped, dashing hopes that the EU's endorsement of Greece's budget plan would calm investor fears. Stocks skidded and the euro slumped.
The European Commission accepted Greece's plan to slash its budget deficit, but warned that further spending cuts and new taxes might be needed to fix the country's public finances.
European markets ended lower, as the dollar strengthened against the euro on the back of better-than-expected U.S. jobs data, causing basic-resource stocks to reverse earlier gains.