European shares hit lowest level since October 2014


European equities fell sharply on Monday, extending the previous week’s steep losses, with cyclical sectors losing ground on persistent concerns about the pace of global economic growth.

The pan-European FTSEurofirst 300 was down 1.7 per cent at 1,261.05 points by 0940 GMT after falling up to 1,259.27 poits, its lowest level since October 2014.

European sectors such as banking, autos, construction and technology fell 2.6 to 2.9 per cent.

“It’s a difficult market environment. I would have hoped for a rebound in the market but after the last week’s actions, certainly this is off the table. The economic newsflow has to improve. So far it hasn’t on a decisive scale,” Gerhard Schwarz, head of equity strategy at Baader Bank in Munich, said.

European and US shares fell sharply on Friday after US jobs data showed employment gains slowed more than expected in January. Some recent economic numbers from China, the world’s second biggest economy, have also disappointed.