European shares retreat on weak commodities, mixed earnings
* FTSEurofirst 300 index falls 0.2 pct
* Commodity shares among top fallers
* Earnings mixed; Adecco slumps, Vestas gains
By Atul Prakash
LONDON, Nov 5 (Reuters) - European shares retreated on Thursday as commodity-related stocks were sold off heavily on a stronger dollar and some companies slumped after reporting disappointing results.
The European mining index fell 1 percent after major industrial metals such as copper, aluminium and nickel fell about 1 percent. Metals prices came under pressure from a rally in the dollar after Federal Reserve Chair Janet Yellen pointed to a possible December interest rate hike.
A stronger U.S. currency generally makes dollar-priced commodities costlier for holders of other currencies and hits metals demand.
"We are seeing a rotation out of commodity-related sectors, driven by a stronger dollar on prospects of a U.S. rate hike," said Gerhard Schwarz, head of equity strategy at Baader Bank in Munich.
"The earnings season has also been mixed. Overall, we have to admit that European earnings have been far weaker than expectations a couple of months ago. The currency tailwind in Europe is offset by weak commodity prices." Continuación...