European share markets slipped in early trading today as a deadly bombing on the Indonesia holiday island of Bali rekindled terrorism fears and affected many stocks linked to the tourism industry.
The Euro Stoxx 50 of leading European shares fell 1 per cent to 2,327.4 points. The British FTSE 100 index dropped 0.7 per cent to 3,924.5 points, the German DAX 30 index lost 2.8 per cent to 2,849.8 points and the French CAC 40 index gave up 0.5 per cent to 2,888.3 points.
The euro was changing hands for 0.9878 dollars.
In Europe, stocks linked to the tourism industry were among the hardest hit by news of the weekend bombing at Kuta, a popular tourist district on Bali, that killed at least 190 people.
The price of British Airways lost 1.2 per cent to 102.75 pence in London, and German carrier Lufthansa slumped 5.4 per cent to 9.7 euros in Frankfurt.
In Paris, shares in Club Med holidays tumbled by 12 per cent to €17.64 , Air France stock slipped €3.4 per cent to €7.91, and Accor dropped 1.9 per cent to €28.50.
The Bali bombing also overshadowed news that European aircraft manufacturer Airbus has won a preliminary deal to supply British low-fare airline easyJet with up to 240 new planes, in a much-needed boost to the aviation industry.
EasyJet said it had picked Airbus as preferred supplier for 120 A319 aircraft, with options with price protection on a further 120 A319s.
Nevertheless, EADS shares fell 2.9 per cent to 9.86 euros in Paris; in London BAE Systems shares eased 0.1 per cent to 199.75 pence and easyJet lost 2.9 per cent to 269.5 pence.
AFP