Europe shares sag after disappointing French, German PMIs

lunes 23 de junio de 2014 11:28 GYT

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

* Alstom deal sparks speculation of stake sales

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

By Tricia Wright

LONDON, 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 region.

Shares of companies in which the French state owns significant stakes retreated after the country's economy minister, Arnaud Montebourg, hinted at sales of some holdings to finance investment in Alstom.

EDF fell 2.8 percent, Safran was down 2 percent, Orange was down 0.5 percent, Airbus down 1.5 percent and Thales down 2.5 percent, all underperforming France's CAC 40, down 0.4 percent.

At 1513 GMT, the FTSEurofirst 300 index of top European shares was down 0.3 percent at 1,390.22 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.   Continuación...