European shares in early trading pressured by the banking sector (Reuters) (03-03-2008)

LONDON, March 3 (Reuters) - European shares declined in early trading on Monday, following the drop in global equities on banks and commodity stocks that fell due to worries about financial sector writedowns and a looming U.S. recession.

At 0823 GMT, the FTSEurofirst 300 index was down 1.34 percent at 1,297.70 points.

UBS led declines in the banking sector as it tumbled 5 percent on top of its recent losses, and Commerzbank fell 3 percent while Alliance & Leicester and Royal Bank of Scotland lost over 4 percent

HSBC, however, rose 0.2 percent after posting a rise in group pretax profit and took loan impairment charges and other credit risk provisions of $17.2 billion for 2007.

Oil companies Total, Royal Dutch Shell and BP all fell more than 1 percent.

And EADS rose 7 percent after it won part of a $35 billion U.S. Air Force refueling deal on Friday in a surprise blow to Boeing.

Source: Reuters