European shares were little changed Tuesday after a disappointing set of manufacturing and service-sector data from the 17-member Eurozone hinted at further economic weakness amid the region's on-going debt crisis.

Manufacturing activity slumped to a three-year low across the single currency area in July, according to figures published by data provider Markit, while the service sector slowed below 50, a figure marking the difference between expansion and contraction, for the second consecutive month.

Elsewhere German bond yields rose after last night's decision by Moody's Investors Service to change the outlook on its triple-A credit rating to negative from stable, suggesting the rating's firm may low the top grade if the Eurozone's debt crisis forces Germany to stump up more cash for indebted partners Italy and Spain.

Spain, for its part, managed to raise around €1.6bn in short-term Treasury bills, despite the on-going turmoil, at yields that were only marginally higher than last month's efforts.