European shares lower on recession concerns

European shares lower on recession concerns

London: European shares fell on Monday, extending its previous session slide on concerns that the United States could be heading towards recession following Friday’s weaker than expected US non-farm payroll data.

Banking stocks featured heavily among the worst performers on the growth outlook concerns, with the STOXX Europe 600 Banks index down 2.6%.

“Sentiment seems to be playing a big move in these market swings, nothing happened over the weekend to install investor confidence," Mark Priest, senior equities trader at ETX Capital, said.

“There are concerns that growth is not what it is expected to be."

By 12:44 pm, the pan-European FTSEurofirst 300 index of top shares was down 2% at 929.41 points after dropping 2.5% on Friday after the economy failed to create any new jobs on a net basis for the first time in nearly a year.