Europe stocks fall after weak U.S. confidence data

* FTSEurofirst 300 down 1.2 pct

* U.S. consumer confidence data weaker than expected

* For up-to-the-minute market news, click on [STXNEWS/EU]

By Brian Gorman

LONDON, June 30 (Reuters) - European share prices were led lower by banks and energy companies on Tuesday, after weaker than expected consumer confidence readings in the United States.

At 1450 GMT the FTSEurofirst 300 .FTEU3 index of top European shares was down 1.2 percent at 849.66 points, having earlier hit a new day's low of 846.32 The index is up more than 31 percent from its lifetime low of March 9, as investors have become more confident of the prospects of recovery. But the rally has stalled in recent weeks, as some analysts feel it had gone too far, relative to the evidence of recovery.

"We're at that stage now where bad news will make a bigger dent than decent news," said Howard Wheeldon, strategist at BGC Partners, in London. "And it doesn't take much. Volumes are so low today, they're just tiny."

U.S. consumer confidence fell in June after two straight months of gains. The Conference Board, an industry group, said on Tuesday its index of consumer attitudes dropped to 49.3 from 54.8 in May. [ID:nLU877510]

Deutsche Bank (DBKGn.DE), HSBC (HSBA.L) and Societe Generale (SOGN.PA) were down between 1.7 and 2.6 percent.

Crude oil prices CLc1 were 2.7 percent lower at $69.57 a barrel, hurting energy shares.

Total (TOTF.PA), BP (BP.L), Royal Dutch Shell (RDSa.L), Repsol (REP.MC) and StatoilHydro (STL.OL) were down between 1.2 and 2 percent.

Across Europe, Britain's FTSE 100 .FTSE, Germany's DAX .GDAXI and France's CAC-40 .FCHI were down between 1.1 and 1.9 percent. (Editing by Greg Mahlich)