Europe shares fall for 3rd day to 2-mth closing low

LONDON, May 6 (BestGrowthStock) – European shares fell sharply for
the third consecutive session on Thursday to a more than
two-month closing low, as fears of a contagion from Greece’s
debt crisis rattled investors’ confidence.

Stocks were also pressured after the European Central Bank
President Jean-Claude-Trichet said the central bank did not
discuss the option of buying euro zone government bonds during
its meeting where it kept interest rates on hold at 1.0 percent.

The pan-European FTSEurofirst 300 (.FTEU3: ) unofficially
closed 1.4 percent lower at 1,008.93 points, the lowest closing
level since Feb 26. The index climbed as high as 1,031.52 in a
choppy session.

“We’ve had quite a pronounced correction and it is entirely
appropriate given where the market was. A high degree of
complacency had been manifest in the market as investors simply
pursued the Q1 earnings story,” said Jeremy Batstone-Carr, head
of research at Charles Stanley in London.

The banking sector was the top faller, with Barclays
(BARC.L: ), Societe Generale (SOGN.PA: ), Banco Santander (SAN.MC: )
and BBVA (BBVA.MC: ) down 3.5 to 6.7 percent.


(Reporting by Harpreet Bhal)

Europe shares fall for 3rd day to 2-mth closing low