Italy may experience the next debt crisis in Europe. Some investors have already started to sell Italian stocks and bonds.

Many analysts worry the country will have problems making payments on its nearly $2.5 trillion debt. That's the highest percentage of an economy of any country in Europe outside of Greece.

Meanwhile, the weekend bailout for Spain didn't calm fears as hoped.

Investors are concerned about the lack of details in the plan, causing the market to slip on Tuesday. It is not yet clear where the euro area bailout loans will come from.

"EU leaders continue to give their best impression of blind men groping around in the dark for a solution to the debt problems afflicting Europe," Michael Hewson, senior market analyst with CMC Markets, said.

Investors are also concerned about the situation in Greece.

Elections this Sunday could determine whether Greece stays with the euro or goes back to its old currency, the Drachma, a move that could cause fractures in the eurozone.