UPDATE 4-European shares slide as Ukraine tensions worsen

jueves 27 de febrero de 2014 07:49 GYT

* FTSEurofirst 300 down 1 pct; Euro STOXX 50 falls 1.3 pct

* Volatility Index rises by more than 10 pct

* February equity market rally starting to stall

* Allianz falls on asset management weakness

By Sudip Kar-Gupta

LONDON, Feb 27 (Reuters) - Downbeat corporate news combined with escalating political tension in Ukraine on Thursday to knock back European stock markets, putting a brake on this month's rally and boosting market volatility.

The pan-European FTSEurofirst 300 index, which rebounded in February to approach its highest level since May 2008, fell 1 percent to 1,335.02 points in mid-session trading, adding to a 0.2 percent dip on Wednesday caused by a drop in luxury goods and financial stocks.

Financial stocks took the most points off the FTSEurofirst 300 on Thursday as well, as Royal Bank of Scotland slumped 8 percent after posting a loss while insurer Allianz fell on the back of difficulties at its Pimco unit.

"We're getting to the tail-end of results season, and many of the results have not been that great. It's also early days in Ukraine, but the situation over there is making people nervous," said Andrea Williams, European equities fund manager at Royal London Asset Management.   Continuación...