European stocks dropped, paring their biggest monthly gain since July 2009, as some investors remain reluctant to buy equities before the euro area’s leaders explain how they will fund their expanded bailout facility. U.S. index futures and Asian shares fell.
Vestas Wind Systems A/S tumbled 19 percent as the biggest maker of wind turbines cut its forecasts for revenue and margins based on earnings before interest and taxes this year after delays in expanding production at its new plant in Germany. HSBC Holdings Plc and BHP Billiton Ltd. led bank and commodity- company shares lower.
The Stoxx Europe 600 Index slid 1.1 to 246.18 at 10:32 a.m. in London, paring its monthly gain to 8.8 percent, the largest advance in more than two years. The gauge slipped 0.2 percent on Oct. 28, having rallied 3.6 percent the previous day, after the euro area’s leaders said they will boost their rescue fund’s capacity in a bid to stem the debt crisis. The gauge jumped 4.2 percent last week, its fifth straight weekly gain.
“Traders are unlikely to be in a risk-on mood like they were on Thursday until they receive more clarity,” said Jonathan Sudaria, a trader at London Capital Group. “With the European Central Bank press conference and the Group of 20 at the latter part of this week, traders may prefer to sit on the sidelines until then.”
Futures contracts on the Standard & Poor’s 500 Index expiring in December retreated 0.9 percent and the MSCI Asia Pacific Index plunged 2.4 percent, its biggest slide in four weeks.
Posted by mohdarafat 
