Europe shares make worst monthly close since May

LONDON, Aug 31 (BestGrowthStock) – European shares fell on Tuesday
and recorded its worst monthly decline since May on worries
about the global recovery, though the market got some support
from a rise in U.S. consumer confidence data.
Merger and acquisition news also help support the market.
ARM (ARM.L: ) gained 8 percent after U.S. chipmaker Intel (INTC.O: )
unveiled a deal to buy German chipmaker Infineon’s (IFXGN.DE: )
wireless unit.

The pan-European FTSEurofirst 300 (.FTEU3: ) index of top
shares provisionally closed 0.2 percent lower at 1,023.30 points
and fell around 2 percent for the month — its worst monthly
decline since May.

“Markets responded to the better than expected U.S. consumer
confidence, but the markets have not made their mind up about
the recovery,” said Mike Lenhoff, chief strategist at Brewin
Dolphin. “There are still worries about a double dip recession.”

The market pared losses after U.S. consumer confidence rose
modestly in August, lifted by a mild improvement in the
short-term outlook.

Dutch chip equipment maker ASML (ASML.AS: ) slipped 3.3
percent after brokers downgraded their ratings on the stock
following Intel’s revenue warning last week.
(Reporting by Joanne Frearson)

Europe shares make worst monthly close since May