European shares led lower by miners ahead of ECB
LONDON May 2 (Reuters) - European shares fell on Thursday, led by falls in basic resources stocks, with Randgold Resources among the top fallers after it posted a drop in first-quarter profit.
The FTSEurofirst 300 was off 0.2 percent at 1,198.64 by 0706 GMT, having risen almost 5 percent over the past two weeks partly in anticipation the ECB will lower its main interest rate by 25 basis points on Thursday.
"I think you might see a big unwinding and blow out if they don't do it (cut rates by 25 basis points)," Joe Rundle, head of trading at ETX Capital, said.
Rundle reckoned that, in the event of disappointment, the FTSEurofirst 300 would initially dip to the 50-day moving average, at 1,181 to "see if there's any support" and, if not, fall to 1,150 - around the start of the past two weeks' rally.
The STOXX Europe 600 Basic Resources sector was the worst hit in early deals, down 1 percent, with Randgold down 4 percent after its results.
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