* FTSEurofirst 300 <> index down 4.2 percent
* Investors await rate decisions from BoE, ECB
* Man Group falls 27 pct after disappointing results
By Brian Gorman
LONDON, Nov 6 (Reuters) - European shares fell in morning
trade on Thursday, as economic concerns remained firmly centre
stage after Barack Obama's U.S. election victory, and investors
awaited rate cuts from the region's top central banks.
At 1018 GMT, the FTSEurofirst 300 <> index of leading
European shares wasdown 4.2 percent at 913.31 points.
Banks took most points off the FTSEurofirst 300 index. BNP
Paribas <BNPP.PA>, Commerzbank <CBKG.DE>, Deutsche Bank
<DBGKn.DE> and HSBC <HSBA.L> were 5.6-7.7 percent lower.
The index fell 2.2 percent on Wednesday, following six
consecutive days of gains, and has lost more than 38 percent
this year, hurt by the global credit crisis and resulting
economic slowdown.
Bigger-than-expected job losses in the U.S., a sharp
contraction in services sectors, steep house price declines and
a manufacturing retreat in Britain all underscored the global
economic gloom.
Investors are awaiting interest rate verdicts from the
European Central Bank at 1245 GMT and the Bank of England at
1200 GMT.
All 81 economists polled by Reuters last week expect the ECB
to cut rates by 50 basis points to a two-year low of 3.25
percent and some in the market expect more.
And 10 out of 62 analyst polled then predicted the BoE would
lop a full percentage point off the current 4.5 percent
benchmark interest rate. More have joined their ranks since, and
all said a half point cut was a done deal.
"We're back to the grim reality of economic data showing
recessionary conditions, and lower earnings guidance," said
Bernard McAlinden, investment strategist at NCB Stockbrokers.
"The counterbalance is interest rate cuts. We're no longer
in a situation where big cuts would cause panic," he said. "At
least, it seems we've been spared stagflation. The threat of
inflation has largely gone away."
Across Europe, Britain's FTSE 100 <>, Germany's DAX
<> and France's CAC-40 <> were 2.7-3.2 percent lower.
MAN GROUP HAMMERED, INSURERS STRUGGLE
Hedge fund specialist Man Group <EMG.L> tumbled 25.6 percent
after disappointing first-half results.
The global financial crisis hit the results of several
leading European banks and insurers.
AXA <AXAF.PA>, Europe's biggest insurer by market
capitalisation, slumped 6.3 percent after posting a 0.9 percent
fall in sales in the first nine months of the year, with revenue
affected by outflows at its asset management division due to the
market turmoil. []
Dutch insurer Aegon <AEGN.AS> suffered a third-quarter net
loss of 329 million euros, while RSA Insurance <RSA.L>,
Britain's biggest commercial insurer, posted an 11 percent rise
in premiums for the first nine months.
Insurance shares were mixed. Aegon was up 1.8 percent, RSA
was off 4.2 percent, and Prudential <PRU.L> slumped 9 percent.
Anglo-South African insurer Old Mutual <OML.L> was up 4.7
percent after it said it had no plans to raise capital, though
it reported a 4 percent drop in nine-month sales.
Oil stocks fell as the price of crude <CLc1> slipped more
than 2 percent to $63.84 a barrel. Total <TOTF.PA>, ENI
<ENI.MI>, BP <BP.L>, Royal Dutch Shell <RDSa.L>, and Repsol
<REP.MC> fell between 2.5 and 3.5 percent.
Lower metals prices, notably in copper and gold, sent mining
shares lower, with Anglo American <AAL.L>, Antofagasta <ANTO.L>,
BHP Billiton <BLT.L>, Rio Tinto <RIO.L>, Vedanta Resources
<VED.L> and Xstrata <XTA.L> down between 5 and 8.2 percent.
World number two brewer InBev <INTB.BR> was a standout
gainer in the gloom, up 5.1 percent after it said its $52
billion takeover of Anheuser-Busch <BUD.N> was on track and
third-quarter results slightly exceeded expectations.
(Reporting by Brian Gorman, editing by Will Waterman)
