European shares retreat as easyJet dives; banks outperform

jueves 6 de octubre de 2016 12:11 GYT

* Pan-European STOXX 600 falls 0.4 pct

* EasyJet slumps after guidance

* Citi says time to buy European banks

* Osram soars on takeover talk (ADVISORY- Follow European and UK stock markets in real time on the Reuters Live Markets blog on Eikon, see cpurl://apps.cp./cms/?pageId=livemarkets) Adds closing prices, details)

By Kit Rees

LONDON, Oct 6 (Reuters) - European shares fell on Thursday after easyJet dropped to its lowest in more than three years, although the beaten-down banking sector rose for the third straight session.

The STOXX 600 index fell 0.4 percent after opening in positive territory, extending the previous session's losses, when both shares and bonds were hit by worries that the European Central Bank might wind down the pace of bond-buying before the end of its asset-purchase programme.

Budget airline easyJet fell almost 7 percent after saying that its annual profit would fall by more than 25 percent this year, its first drop since 2009. It cited disruptions, security concerns and an adverse exchange rate.

Shares in rivals IAG and Ryanair fell 3.9 and 1.5 percent.   Continuación...