European shares snap winning run as earnings disappoint

jueves 13 de febrero de 2014 10:10 GYT

* FTSEurofirst down 0.9 pct, Euro STOXX 50 down 1 pct

* Italy's FTSE MIB lags on political uncertainty

* Nestle weighs as it warns on slower emerging market demand

* BNP-Paribas leads bank selloff after profit drop

By Francesco Canepa

LONDON, Feb 13 (Reuters) - European stocks snapped a week-long winning streak on Thursday, weighed down by a batch of disappointing updates from blue-chip companies, while Italian shares lagged peers on the threat of a new political crisis.

Shares in Swiss food group Nestle fell 2 percent after it said it may undershoot its long-term growth targets again this year due to weaker demand from emerging markets and price pressures in Europe.

French spirits group Pernod Ricard also warned about weak demand in China on Thursday as it cut its annual profit growth goal. After a sharp drop in early trade, shares in the group rebounded, with analysts at Liberum saying long-term investors could find an attractive entry point at the current price.

An MSCI basket of stocks with the highest proportion of sales from emerging countries has fallen by more than 2 percent this year, underperforming the broader market, as signs of a slowdown in China and capital flight from other emerging countries saw traders ditch assets linked to those regions.   Continuación...