Europe shares fall early; banks, oils slip
LONDON, July 6 (Reuters) - European shares fell in early trade on Monday, tracking losses in Asia, with energy companies and banks leading the fallers, and ahead of the start of second-quarter earnings.
At 0707 GMT, the FTSEurofirst 300 .FTEU3 index of top European shares was down 1.3 percent at 831.30 points.
The European benchmark index is up more than 28 percent from its lifetime low of March 9. However, it has fallen for three straight weeks, with some analysts saying it has risen too fast, relative to the tangible evidence of economic recovery.
The heavyweight banking sector took most points off the index. BNP Paribas (BNPP.PA), Banco Santander (SAN.MC), Credit Suisse (CSGN.VX) and HSBC (HSBA.L) were down between 0.9 and 1 percent.
Crude prices CLc1 fell below $65 a barrel, hurting energy shares. Total (TOTF.PA), ENI (ENI.MI), BP (BP.L) and Royal Dutch Shell (RDSa.L) dropped between 0.9 and 1.9 percent.
Chemicals giant BASF (BASF.DE) rose 1.7 percent, after Banc of America-Merrill Lynch upgraded it to "buy" from "neutral".
In a week shortened by the Independence Day holiday, U.S. shares also fell for a third straight week. Data showed that the unemployment rate for both the United States and the euro zone has risen to 9.5 percent.
"There's a feeling corporate results are still going to be poor," said Justin Urquhart-Stewart, investment director at Seven Investment Management, in London.
"People are asking where the growth is going to come from. They're looking at data and noticing it's still getting worse," though not at the same rate as before," he added.
Japan's Nikkei .N225 closed 1.4 percent lower on Monday. (Reporting by Brian Gorman)
