* FTSEurofirst 300 down 0.1 pct on day
* Still manages biggest weekly gain since April
* Spain hit by energy sector reform concerns
By Toni Vorobyova
LONDON, July 12 European shares edged lower on
Friday, with mixed economic data and renewed concerns about the
political risks in the euro zone prompting investors to lock in
profits at the end of the market's best week since April.
The FTSEurofirst 300 closed down 0.1 percent at 1,195.45
points, trimming gains for the week to 2.7 percent.
Sentiment was hurt by news that Portugal's opposition
Socialists had demand a renegotiation of the country's bailout
terms, and by U.S. data highlighting higher-than-expected
inflation against weaker-than-forecast consumer sentiment.
Investors were also nervous of holding on to positions ahead
of the release of Chinese second quarter economic growth, due
before the European open on Monday, which will be particularly
key to the mining sector.
"Some of the macro data was not conducive to a positive
market and, as it is the end of the week, there is a certain
amount of profit-taking ahead of Monday when we get a clear view
of what is happening in China," said Brenda Kelly, analyst at
Basic resources, which had been among the top performers
this week, sold off steeply, down 1.3 percent.
Regionally, the Spanish market was the clear laggard, with
the IBEX falling 2.3 percent, as investors fretted about
the increased costs for companies from a regulatory overhaul of
the energy sector there.
Renewable power producer Acciona fell 8.5 percent
and power grid operator Red Electrica shed 7.5 percent.
In contrast, strong profits and confirmed outlook from car
marker Daimler helped support Germany's DAX, which
climbed 6.2 percent.
From a technical perspective, the divergence between the
strong DAX and the weak peripheral indexes such as the IBEX or
Portugal's PSI 20 clouded the outlook for the broad
"Now indexes are not in sync, so we have to wait for
synchronicity to have a real trend," said Valerie Gastaldy,
technical analyst at Day By Day. "In Europe we are definitely
weak, but ... we need to wait for a sell signal."