European shares led lower by telecom, bank stocks

jueves 31 de marzo de 2016 06:28 GYT

* Markets retreat after Yellen-inspired gains on Wednesday

* Orange, Bouygues to extend talks - shares slip

* Italian bank stocks also fall

* TUI, Carnival rise after earning updates (ADVISORY- Reuters plans to replace intra-day European and UK stock market reports with a Live Markets blog on Eikon (see cpurl://apps.cp./cms/?pageId=livemarkets for site in development). Adds details, updates prices)

By Sudip Kar-Gupta

LONDON, March 31 (Reuters) - European shares fell on Thursday after solid gains made in the previous session following dovish comments from the head of the U.S. Federal Reserve.

French telecom stocks and Italian banks underperformed.

The pan-European FTSEurofirst 300 index slid 0.9 percent. The index had risen 1.3 percent in the previous session after Federal Reserve Chair Janet Yellen's call for caution in raising U.S. interest rates buoyed global stock markets.

French telecom stocks were among the worst performers after Orange and Bouygues extended negotiations on a possible sale of Bouygues Telecom until Sunday, citing a lack of progress ahead of a Thursday deadline.   Continuación...