Europe Declining On Banks Ahead of ECB and BoE rate decisions (Reuters) (06-03-2008)

LONDON, March 6 (Reuters) - European shares resumed losses on Thursday, before two major central bank decisions, in spite of retailer gains from Carrefour and Ahold and energy stocks as the the banking sector declined.

By 0811 GMT the FTSEurofirst 300 index of top European shares was down 0.3 percent at 1,297.75 points. The index rallied 1.7 percent on Wednesday but is still down 14 percent so far this year.

Banks were leading declines, as investors continue to worry over the slowing U.S. economy and remained nervous ahead of the European Central Bank and the Bank of England's respective rate decisions stripped 0.6 percent off the sector. Both central banks are expected to keep rates steady.

Carrefour shares were up 2.7 percent after Europe's largest retailer reported slightly higher 2007 profits and said it aimed to return around 4.5 billion Euros to investors in coming years.

High crude prices boosted index heavyweights BP, Royal Dutch Shell and Total, by 0.5-0.6 percent.

Source: Reuters