Weaker utilities, banks drag down European shares

miércoles 12 de noviembre de 2014 12:20 GYT

* FTSEurofirst 300 index down 1.1 percent

* Utilities slip after results from some firms

* Banking shares down after forex probe fines

By Atul Prakash

LONDON, Nov 12 (Reuters) - European shares retreated on Wednesday after two days of gains, with utilities slipping after some company earnings and financials hit by global regulators moving to fine five banks for failings in currency trading.

The utilities index fell 2.4 percent, the biggest sectoral decliner, led by a 5.7 percent drop in Italy's Enel after it lowered its debt-reduction target for 2014 and reported a drop in nine-month core earnings.

Germany's top utility E.ON fell 4 percent after posting a steep drop in profits at its business in Russia, its most important foreign market.

Analysts said the market was likely to remain volatile in the near term due to choppy earnings results.

"If you look at 2015 earnings estimates for Europe, they are down quite sharply over the last few weeks. This shows that the underlying problems for the market are still very much intact," said Gerhard Schwarz, head of equity strategy at Baader Bank.   Continuación...