Europe shares sag after disappointing French, German PMIs

lunes 23 de junio de 2014 07:09 GYT

* FTSEurofirst 300 down 0.3 pct, falls from 6-1/2 yr high

* Shares in airlines hit by strong oil prices

* Euronext slips again; UBS starts with 'sell' rating

By Tricia Wright and Blaise Robinson

LONDON/PARIS, June 23 (Reuters) - European stocks fell on Monday as downbeat readings of euro zone business activity revived worries over the pace of economic recovery in the currency bloc.

European airline shares fell as worries over potential disruptions to crude supply from Iraq pushed up oil prices. British Airways parent IAG shed 1.3 percent, Air France-KLM was down 1.1 percent and easyJet dropped 1.9 percent.

At 1036 GMT, the FTSEurofirst 300 index of top European shares was down 0.3 percent at 1,391.16 points, retreating from a 6-1/2 year high hit last week.

Data compiler Markit said its composite Purchasing Managers Index (PMI) of activity in France's manufacturing and services sectors slipped deeper into contraction in May, dampening hopes for a rebound in the euro zone's second-biggest economy.

Separate Markit data showed manufacturing output in Germany, Europe's largest economy, increased at its weakest rate since September and service sector growth also slowed.   Continuación...