* FTSEurofirst 300 down 0.2 pct after hitting 11-wk low
* Mining, energy shares slip; banks mixed
* Automakers advance, Porsche jumps 6.6 percent
* For up-to-the-minute market news, click on []
By Atul Prakash
LONDON, July 13 (Reuters) - European share prices extended
the previous session's losses to hit an 11-week low early on
Monday, led down by oils and miners, with corporate earnings
worries forcing investors to scale back their trading positions.
The FTSEurofirst 300 <> index of top European shares
was down 0.2 percent at 812.94 points by 0834 GMT after hitting
an 11-week low of 805.93. The index, which has fallen in seven
of previous eight sessions, slipped 1.1 percent on Friday,
notching up a fourth straight week of losses.
Miners were among top losers on the index, also tracking
weaker metal prices. Antofagasta <ANTO.L>, Rio Tinto <RIO.L> and
Lonmin <LMI.L> fell 0.3-0.6 percent.
Xstrata <XTA.L> was down 4.6 percent. The company said on
Sunday it remained committed to a nil-premium merger with Anglo
American <AAL.L> after the Observer newspaper cited sources as
saying the company would offer a 5 billion pound ($8.1 billion)
sweetener to seal the deal. []
Analysts said that uncertainties about the earnings season
continued. U.S. oil major Chevron <CVX.N> last week provided a
downbeat earnings outlook and investors awaited results from
Goldman Sachs <GS.N> and Intel <INTC.O> on Tuesday, JP Morgan
Chase <JPM.N> on Thursday and Bank of America <BAC.N> on Friday.
"I don't think we will see an economic recovery this year
and ... earnings estimates are still too high, so there is room
for disappointment," Philippe Gijsels, senior equity strategist
at Fortis Bank, in Brussels.
Banks were mixed. HSBC <HSBA.L>, Barclays <BARC.L>, Lloyds
<LLOY.L>, Societe Generale <SOGN.PA> and Swedbank <SWEDa.ST>
were down 0.1-1.8 percent. But Standard Chartered <STAN.L>,
Royal Bank of Scotland <RBS.L> and BNP Paribas <BNPP.PA> gained
0.3-0.4 percent.
UBS <UBSN.VX> was up 1.2 percent. The U.S. government and
the Swiss lender asked a federal judge on Sunday to delay the
start of a closely-watched trial, as they seek to resolve their
dispute over U.S. demands for the identities of thousands of
wealthy Americans suspected of using the Swiss bank to dodge
taxes. []
Some energy stocks came under pressure after crude oil
prices <CLc1> fell more than 1 percent before paring losses.
Repsol <REP.MC>, StatoilHydro <STL.OL> and Royal Dutch Shell
<RDSa.AS> shed 0.1-0.8 percent.
"It feels like the excitement we all felt a month ago at the
sustained rally has drained away, leaving a bitter taste in the
mouth," said Owen Ireland, an analyst at ODL Securities.
"Should the markets have simply flattened out it would not
feel so uncomfortable, as we could quite imagine a mid-July
resurgence. Instead, markets have been riddled with weakness,
and sentiment will surely have to change dramatically if we are
to see things improve."
PORSCHE RACES AHEAD
However, automakers were generally higher. Porsche
<PSHG_p.DE> rose 6.6 percent after a report said the ruler of
the Gulf state of Qatar is willing to offer 7 billion euros for
both a stake of just over 25 percent in the listed holding and
Porsche's cash-settled options in Volkswagen stock <VOWG.DE>.
[]
BMW <BMWG.DE>, Daimler AG <DAIGn.DE> and Fiat <FIA.MI> were
up 0.1-3 percent.
Dutch conglomerate Philips Electronics <PHG.AS> was up 4.6
percent. The company said on Monday sales may show some
improvement in the second half of the year after reporting a
second-quarter operating profit that beat analyst expectations.
[]
Friends Provident <FP.L> rose 4.6 percent to top the FTSE
100 <> risers in a weaker broader market after buy-out firm
Resolution has proposed a merger with the life insurer, which
Resolution says has rebuffed.
France's main electricity provider EDF <EDF.PA> was down 0.2
percent. The company is discussing swapping some assets with
Italian utility Enel <ENEI.MI>, French business newspaper La
Tribune reported on Monday.
(Additional reporting by Blaise Robinson in Paris; Editing by
Greg Mahlich)
