European shares slide 2% as China Evergrande's troubles cast shadow

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BENGALURU (Reuters) - European shares tumbled over 2% to a near two-month low in early afternoon trading on Monday as growing solvency worries about property group China Evergrande spooked investors, in a dour start to a week packed with meetings of major central banks.

The pan-European STOXX 600 index was down 2.2% by 1212 GMT, with mining stocks plunging 5.2% on a slide in commodity prices.

The benchmark European STOXX 600 has declined for three straight weeks on worries about slowing global growth, soaring inflation, persistently high COVID-19 cases and the spillover from tighter regulation of Chinese firms. "But this merely defers taper. By how much is the question." German shares fell 2.7% as data showed a bigger-than-expected jump in producer prices last month.

 

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