Banks lead European shares to two-week closing low
European shares fell on Monday to their lowest close in more than two weeks on renewed worries about recession and euro zone debt, and with banks hit by a US lawsuit connected to the packaging of toxic mortgage debt.
The STOXX Europe 600 Banks index fell 5.9 percent and hit a 29-month low.
It has lost more than a third of its value in 2011, and is the worst performing European sector. Deutsche Bank fell 8.9 percent, extending a decline from Friday, when news of the lawsuit first hit shares in the sector.
The FTSEurofirst 300 index of leading European shares fell 4.1 percent to 910.06 points, the lowest close since Aug. 19.
Japan's Nikkei average skidded nearly 2 percent to wipe out last week's gains, hurt by a weaker euro and a US jobs report that raised worries President Barack Obama's job measures will not be enough to prevent another US recession.The Nikkei ended down 1.9 percent at 8,784.46, erasing last week's 1.7 percent gain made on expectations of more US easing. The broader Topix index fell 1.8 percent to 755.82.
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