Europe shares fall for 3rd session; miners weaker

* FTSEurofirst 300 falls 0.5 pct; down for 3rd session

* Miners among top decliners on growth concerns

* Investors await more data for near-term market direction

* For up-to-the-minute market news, click on [STXNEWS/EU]

By Atul Prakash

LONDON, Sept 16 (Reuters) - European shares fell for a third straight day on Thursday, with disappointing economic numbers in the previous session raising concerns about the sustainability of the recent equities rally to four-month highs.

Sentiment worsened further after figures showed British retail sales volumes fell last month for the first time since January after drops in sales of food, fuel, clothes and household goods. [ID:nUKLGKE64J]

At 0837 GMT, the FTSEurofirst 300 <.FTEU3> index of top European shares was down 0.5 percent at 1,079.20 points, after ending 0.3 percent lower on Wednesday on a report showing a measure of New York state business conditions slipped to the lowest in more than a year.

"We are still lacking a degree of direction and could see the market remaining relatively quiet," said Keith Bowman, equity analyst at Hargreaves Lansdown.

"We certainly remain very data sensitive. Yesterday's U.S. figures were a little disappointing, but on balance, economic numbers are probably seen as still supportive."

U.S. Federal Reserve data also showed on Wednesday that industrial output rose at a slower pace in August, suggesting that the economy was cooling, but not installing.

Investors awaited U.S. weekly data on first-time claims for jobless benefits for the week ended Sept. 11 and U.S. producer price numbers, both due at 1230 GMT.

Miners were among the top decliners as concerns about global economic reovery raised fresh questions about demand for raw materials. Anglo American , Antofagasta , Rio Tinto and Xstrata fell 0.2 to 1.1 percent.

BHP Billiton was down 0.4 percent. The Globe and Mail reported on its web site that Potash Corp is trying to put together a consortium led by China to back a management buyout to trump BHP Billiton's $38.6 billion hostile offer. [ID:nSYU010609]

However, industrial goods and services shares were in demand, with the sector index <.SXNP> rising 0.4 percent, led higher by Siemens AG .

Siemens jumped 3.3 percent after news that the company and South Korea's GS Engineering & Construction <006360.KS> had jointly won orders to build power plants in Oman from a group led by GDF Suez .

ABB , Schneider Electric and Adecco gained 0.9 to 2 percent.

Kingfisher , Europe's biggest home improvement retailer, rose 1.1 percent as it beat first-half profit forecasts, helped by cost-cutting and business improvements that it said would help it to cope with a tough consumer outlook.

"The interim dividend was maintained with FY dividend likely to grow in line with adjusted earnings. The consumer outlook remains fragile, but the shares are likely to react positively," Investec said in a research note.

Ericsson fell as much as 3 percent, with traders citing market talk that the company was guiding analysts for lower results. An Ericsson spokesman said the company does not give outlooks. [ID:nLDE68F0I8]

Across Europe, the FTSE 100 <.FTSE>, Germany's DAX <.GDAXI> and France's CAC 40 <.FCHI> fell 0.1 to 0.4 percent. (Editing by Mike Nesbit)