European shares fall on G20 caution; Ericsson up

                                
 * FTSEurofirst 300 index falls 0.3 percent
                                
 * Ericsson jumps after forecast-beating results
                                
 * Miners slip ahead of outcome of G20 meeting
                                
 * For up-to-the minute market news, click on [STXNEWS/EU]
By Joanne Frearson
                                
 LONDON, Oct 22 (Reuters) - European shares retreated on
Friday from six-month high touched on Thursday as investors
awaited the outcome of a meeting of G20 financial leaders in
South Korea, although strong earnings gave some support.
                                
 Ericsson <ERICb.ST>, the world's biggest mobile network gear
maker, jumped 5.8 percent after it posted higher-than-expected 
profit on the back of high-margin network upgrades.
[ID:nLDE69L06C]
                                
 By 0906 GMT, the pan-European FTSEurofirst 300 <.FTEU3>
index of top shares was down 0.3 percent at 1,090.32 points
after reaching its highest closing level since late April.
                                
 "We are lower though some stocks are seeing some benefit
from the earnings reporting season," Heino Ruland, strategist at
Ruland Research in Frankfurt, said. 
                                
 "But we are going into the weekend which is never good for a
rally. Traders are likely to clear their books, especially with
the G20 meeting going on."
                                
 G20 finance officials started their formal meetings on
Friday, with the United States seeking to corral reluctant
finance leaders into a deal that would commit emerging markets
to cut their current account surpluses and allow their
currencies to rise. [ID:nTOE69L00U]
                                
 The mining sector fell as investors took a cautious stance
ahead of news from the meeting, with the STOXX Europe 600 Basic
Materials <.SXPP> down 1 percent.
                                
 Vedanta Resources <VED.L>, Antofagasta <ANTO.L> and Xstrata
<XTA.L> slipped 1.2 to 1.9 percent.
ALFA LAVAL FALLS
                                
 In individual stocks, Swedish engineer Alfa Laval <ALFA.ST>
was 2.9 percent lower, with analysts citing profit taking after
third-quarter earnings met forecasts.
                                
 "The numbers are basically in line and they are guiding
flat. So, all in all, given their run, we are going to see some
profit taking. Generally, it is a solid, steady performance. The
margins are very impressive, but given the recent strong reports
in Scandinavia I do not think it is enough," one analyst said.
                                
 French in-vitro diagnostics group BioMerieux <BIOX.PA> lost
5.5 percent after cutting its organic sales growth target,
citing deteriorating healthcare markets in Western Europe and
North America. [ID:nLDE69L07P]
On the upside, Ferrovial <FER.MC> gained 2.9 percent after
it said planned to sell a 10 percent stake in British airports
operator BAA in order to finance new investments and pay off
debt. [ID:nLDE69L0BU]
                                
 Economic news painted a brighter picture, with German
business sentiment rising in October, confounding expectations
for a slight fall, a closely watched survey showed.
[ID:nLDE69L0K1]
                                
 Across Europe, the FTSE 100 <.FTSE> index was down 0.5
percent, Germany's DAX <.GDAXI> was 0.2 percent lower and
France's CAC 40 <.FCHI> was down 0.4 percent.
 (Reporting by Joanne Frearson; Editing by Michael Shields)