European shares weighed down by weak China data


22/03/2012 11:40 AST  Reuters

European equity markets weakened for a fourth straight session on Thursday, heading for their longest down run in four months as weak economic data from China reignited concerns about the strength of global demand, hitting miners especially hard.

The pan-European FTSE Eurofirst 300 fell 0.3 percent to 1,088.96 points by 0801 GMT, extending its losses since the start of the week to 1.7 percent and on track for its longest continuous sell-off since equity markets turned higher in November 2011.

"There is a concern, which I share, that we have a rather uneven recovery with the euro zone periphery in particular rather weak and former growth engines like China also not seeing a pronounced recovery," Gerhard Schwarz, head of equity strategy at Baader Bank, said.

"I would not say it's a deep correction (in equities), it could be a top-building process over the next couple of weeks, the markets are overbought and looking for the next catalyst."

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