Frankfurt DAX: 2,673.62 (-30.21)

German shares closed lower after the dollar weakened against the market and as Wall Street losses and the comments by Germany institutes held the market back.

The institutions had suggested that Germany would not meet the strict criteria to join the single currency in 1997. This concern had been voiced by individual institutions before.

BASF was down but stronger than the market. Dealers said there were large buying orders for the stock

Paris CAC-40: 2,125.74 (-24.65)

French stocks fell 1.15 per cent after weakness in the dollar, bond prices and concerns that German interest rates may rise. This drove the bourse's blue chip CAC-40 index through important support levels.

Milan Mibtel: 9,682 (-106)

Italian shares closed mostly lower but above the lows, lifted by Wall Street's stronger opening, after tracing the gyrations of the BTP market through most of the day.