European shares hit 13-month low on growth, deflation worries
* FTSEurofirst 300 falls 1.9 pct, hits 13-month low
* Euro-zone banking index falls 3.4 percent
* Getinge slumps 15 pct after trimming sales forecast
By Atul Prakash and Blaise Robinson
LONDON/PARIS, Oct 16 (Reuters) - European shares extended their recent steep losses on Thursday, with a benchmark index slipping to a 13-month low, on mounting concerns over weakness in the global economy and fears of deflation in the euro zone.
At 1052 GMT, the pan-European FTSEurofirst 300 index was down 1.9 percent at 1,228.15 points after touching an intra-day low of 1,215.62, the lowest level since September last year. It has slumped more than 13 percent in four weeks.
"Nobody wants to sell at these levels, so this is not about investors taking the decision to cut positions, it's all about automatic stop-losses and forced sales due to margin calls," Christian Jimenez, fund manager and president of Diamant Bleu Gestion, said.
"And the more stocks go down, the more stop-losses get triggered. A negative spiral has started, and the news flow is clearly asymmetrical now. People only see the negative headlines. So it's definitely too early to buy."
Cyclical shares, which are more sensitive to economic conditions, were the worst hit. The euro zone's banking index fell 3.4 percent, the construction index was down 2.3 percent and insurers fell 2.6 percent. Continuación...