European shares edge lower after U.S. selloff
LONDON, Sept 26 (Reuters) - European shares edged lower to trade near a one-month trough early on Friday, with a sharp sell-off in U.S. and Asian equities leading investors to stay cautious on the last trading day of the week.
The FTSEurofirst 300 index of top European shares was down 0.2 percent at 1,370.02 points by 0708 GMT after setting its lowest level in almost a month in the previous session.
U.S. stocks suffered sharp losses on Thursday, with the S&P 500 suffering its biggest one-day drop since July as Apple shares tumbled and the dollar rose to a four-year high. Major U.S. stock indexes fell 1.5 to 1.9 percent.
The dollar held near a four-year high against a basket of major currencies, and further gains looked likely for the U.S. currency as it boasted its the biggest yield advantage over the euro in 15 years.
A rise in the U.S. currency also tends to make metals costlier for holders of other currencies and lowers demand for raw materials, which in turn could hit miners.
(Reporting by Atul Prakash)
© Thomson Reuters 2016 All rights reserved.