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UPDATE 1-European shares trade sideways, Just Eat and Lufthansa shine

UPDATE 1-European shares trade sideways, Just Eat and Lufthansa shine
From Reuters - October 12, 2017

LONDON (Reuters) - European shares traded sideways in morning deals on Thursday despite new highs in Asia and on Wall Street, with financial shares being the biggest burden and Just Eat the top performer after its merger with Hungryhouse got provisional clearance.

At 0840 GMT, the pan-European STOXX 600 index was up 0.01 percent with no clear direction across the continent.

Frances CAC 40 was down 0.2 percent, Frankfurts DAX down 0.1 percent, while Londons FTSE 100 and Spains IBEX were up 0.1 percent.

The impact of the political crisis in Spain has softened, with some investors seeing it as an opportunity to buy stocks on the cheap.

We think the Catalan governments reservation to immediately declare independence and seek negotiations reduces the tail-risk of a Spanish break-up, Deutsche Bank analysts wrote in a research note.

As a result we think Spanish equities are likely to outperform the European market over the coming months.

Other analysts caution that things could get worse before getting better.

Spanish Prime Minister Mariano Rajoy on Wednesday gave the Catalan government eight days to drop an independence bid, failing which he would suspend Catalonias political autonomy and rule the region directly.

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