Monday, May 28, 2012

European shares knocked by Spain bank worries

European shares ended in negative territory on Monday, reversing earlier gains in thin trade as concerns surrounding Spain's banks returned to the forefront of investors' minds.

The FTSEurofirst 300 closed down 0.1 percent at 984.01, having earlier reached a high of 993.21 - boosted by opinion polls suggesting Greece's pro-bailout parties may be able to form a government committed to staying in the euro zone.

In Asia,  Nikkei average firmedafter eight straight weeks of declines, helped by gains from widely held Fast Retailing and Fanuc Corp which outweighed Renesas Electronics' sharp tumble.

The Nikkei closed up 0.2 percent at 8,593.15, staying firmly above the 8,500 support level but stopping short of its 5-day moving average of 8,604.6. The broader Topix index inched down 0.1 percent to 721.11.

Wall Street was closed today due to the Memorial Day holiday.