European shares pause after sharp rally

PARIS Mon Nov 24, 2014 3:10am EST

PARIS Nov 24 (Reuters) - European shares inched lower in early trading on Monday, taking a breather after the previous session's sharp rally sparked by dovish comments from European Central Bank President Mario Draghi and a surprise interest rate cut in China.

At 0805 GMT, the FTSEurofirst 300 index of top European shares was down 0.1 percent at 1,384.15 points, after surging 2.1 percent on Friday.

On the M&A front, shares in British insurer Aviva fell 2.9 percent after it agreed terms on a possible deal to buy rival Friends Life for 5.6 billion pounds ($8.8 billion). Friends Life shares rose 5.1 percent. (Reporting by Blaise Robinson; Editing by Atul Prakash)