European shares dip, Germany's DAX outperforms
* FTSEurofirst 300 roughly flat
* Philips lower as sale of Lumileds in doubt
* Peugeot down after Q3 results
* Today's European research round-up (Adds detail)
By Danilo Masoni and Alistair Smout
MILAN/LONDON, Oct 26 (Reuters) - European shares drifted lower on Monday as the effect of China's rate cut faded, although German stocks outperformed after a business sentiment survey came in better than expected.
The pan-European FTSEurofirst 300 index was down 0.4 percent at 1,484.60 points, after rising 1.95 percent in the previous session. The euro zone's blue-chip Euro STOXX 50 index was down 0.5 percent.
Germany's DAX outperformed other European indexes, trading flat, helped by strong gains in utility RWE after a coal reserve deal.
The DAX extended gains after a business sentiment survey showed that morale had fallen by less than expected in October, suggesting that Europe's largest economy is holding up in the face of a slowdown in China and a scandal at carmaker Volkswagen . Continuación...