LONDON, Jan 28 (Reuters) - European equities dropped on Friday, pressured by mining shares, with investors staying cautious ahead of the release of U.S. gross domestic product data that is expected to set near-term market direction.
At 0812 GMT, the FTSEurofirst 300 index of top European shares was down 0.4 percent at 1,150.29 points.
"We expect equity markets to move into a consolidation phase in the next couple of months," said Tammo Greetfeld, equity strategist at UniCredit.
"People are waiting for the U.S. GDP figures, but it would only move the market in a big way if the figures significantly deviate form the consensus."
The U.S. GDP report, due at 1330 GMT, is expected to show the economy probably gathered speed in the fourth quarter, with the biggest gain in consumer spending in four years. Economists forecast a 3.5 percent annualized rate of growth, against a 2.6 percent rate in the final Q3 estimate.
Miners were the top decliners ahead of the GDP figures that are expected to provide some hints about future demand for raw materials. The STOXX Europe 600 Basic Materials index was down 1.6 percent, while Rio Tinto fell 1.9 percent. (Reporting by Atul Prakash)