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Europe shares fall for 6th day on growth worries

Published 10/04/2010, 11:44 AM
Updated 10/04/2010, 11:48 AM

LONDON, Oct 4 (Reuters) - European shares fell for a sixth straight session on Monday, as U.S. pending home sales data failed to allay investors' worries about the strength of the economic recovery.

The pan-European FTSEurofirst 300 index fell 0.6 percent to end the day provisionally at 1,051.61 points, its lowest close since Aug 31. The index has lost 2.5 percent over the six sessions for decline, its longest losing streak since January 2009.

Pending sales of previously owned U.S. homes rose to a four-month high in August, implying the housing market was regaining some stability after recent steep declines following the end of a home-buyer tax credit. But another report showed new orders received by domestic factories fell 0.5 percent in August.

"The pending homes data did bounce. But you'd need some really strong data to make people change their minds (about the pace of the recovery)," said Philip Isherwood, European equities strategist at Evolution Securities. "The thing that is going to dominate the market this week is the non-farm payrolls on Friday."

Heavyweight oil majors gave back some of their recent gains, though crude prices hovered near recent highs above $80. BP, ENI and Total fell between 1.3 and 2.1 percent. (Reporting by Brian Gorman)

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