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* STOXX 600 and FTSEurofirst 300 down around 0.6 pct
* Deutsche Bank and Credit Suisse touch record lows
* Property stocks fall
By Sudip Kar-Gupta
LONDON, July 6 (Reuters) - European stocks fell on Wednesday, led lower by major banks, amid persistent worries over Britain’s vote to leave the European Union.
The pan-European STOXX 600 and the similar FTSEurofirst 300 index were both down 0.6 percent.
The STOXX Europe 600 banks index fell 1.8 percent, with shares in Spain’s Caixabank down 2 percent after Caixabank warned it expected a 1.25 billion euro ($1.4 billion) hit related to mortgage clauses.
Shares in Deutsche Bank and Credit Suisse also touched record lows, as investors’ concerns mounted over the impact of Britain’s decision to leave the EU on the European economy and its banks.
Valentijn van Nieuwenhuijzen, Head of Multi Asset at NN Investment Partners, expected euro zone shares to underperform U.S. stocks for some time to come given this weak economic backdrop for Europe.
“It is unlikely that European equities will outperform U.S. equities as long as the political uncertainty lingers and the impact on the real economy cannot be assessed. This could be a prolonged period,” said van Nieuwenhuijzen.
“The downward revision in economic growth and earnings will prevent cyclical sectors from outperforming, especially those linked to European corporate investments and consumer spending also looks vulnerable,” he added.
Telecom Italia shares also slumped after French rival Iliad said it was entering the Italian mobile market.
Property stocks bore the brunt of investors’ concerns over Brexit, with the STOXX Europe 600 Real Estate index down 1.1 percent, after M&G suspended trading in its 4.4 billion pound ($5.7 billion) UK property portfolio and feeder fund.
M&G’s move comes after Standard Life taking similar measures earlier in the week.
“There was always a strong chance that once the Standard Life domino fell others would follow, just as in the financial crisis of 2008. And, as then, it is hard not imagine a fall in commercial property values this time,” said ETX Capital chief executive Andrew Edwards.
($1 = 0.9044 euros)
Editing by Raissa Kasolowsky