European shares fall to hover near two month lows

European shares fell on Friday as weak commodity prices put pressure on markets before a widely expected rise in US interest rates next week.

The pan-European FTSEurofirst 300 index fell 0.5 per cent to hover near two-month lows, while the euro zone’s blue-chip Euro STOXX 50 index also declined by 0.4 per cent.

The STOXX Europe 600 Oil & Gas Index fell 0.6 per cent, with crude oil prices remaining at levels not seen since early 2009 as output in the Middle East continued to rise despite an already huge global glut.

French advertising group Publicis underperformed, falling 1.1 per cent after losing a US advertising account with L'Oreal to rival WPP, whose shares edged up by 0.1 per cent.

Reuters