* FTSEurofirst 300 down 0.1 pct, Euro STOXX 50 up 0.1 pct
* Germany's DAX underperforms with 0.5 pct fall
* Deutsche Boerse, ThyssenKrupp among main fallers
By Sudip Kar-Gupta
LONDON, July 26 European shares edged lower on
Friday, dented by an underperforming German DAX market
which had already unsettled some investors this week with profit
warnings from some of its leading companies.
The pan-European FTSEurofirst 300 index, which had
risen to its highest level in nearly two months this week, fell
by 0.1 percent to 1,208.28 points in mid-session trading.
The euro zone's blue-chip Euro STOXX 50 index
was up by 0.1 percent at 2,743.79 points but Germany's DAX
fared worse than rival markets as it fell 0.5 percent
to 8,259.54 points.
"There's a little bit of an underperformance on the DAX this
morning which is dragging markets slightly lower," said XBZ
European equity options broker Mike Turner.
German stocks featured heavily on the FTSEurofirst 300's
list of fallers.
Deutsche Boerse fell 3.8 percent after its
second-quarter earnings slightly missed the consensus forecast.
Steelmaker ThyssenKrupp also fell nearly 4 percent
after a media report that late-stage talks over the sale of an
unprofitable unit had hit a snag, while carmaker Daimler
dipped 1.9 percent.
DIPS IN THE DAX
The DAX rose to a record high of 8,557.86 points in late May
and is up some 9 percent since the start of 2013, but the index
fell 1 percent on Thursday after profit warnings from chemicals
group BASF and engineer Siemens.
Logic Investments' strategy head Peter Rice saw more
near-term weakness in the DAX, which he said could stall July's
recovery in the FTSEurofirst 300, which has rebounded some 10
percent from a June low of around 1,111.11 points.
"The DAX could drift a bit lower down to 8,200 points, and
that could put the broader European markets under a bit more
pressure," said Rice.
Others were more positive, predicting more gradual gains for
European equities, with the FTSEurofirst 300 up around 7 percent
since the start of 2013.
Andreas Clenow, hedge fund trader and principal of
Zurich-based ACIES Asset Management, was putting on 'long'
positions to bet on further gains for European shares, which
this year have lagged gains in U.S. stocks that are trading at
"European equity markets may not be as strong as the U.S.,
but everything looks pretty healthy to me. Things are slowly
moving up," he said.