LIVE MARKETS-Financials top drag; Dutch government collapses

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FINANCIALS TOP DRAG; DUTCH GOVERNMENT COLLAPSES

Opening gains in European shares quickly evaporated, dragging the region wide STOXX 600 .STOXX down by around 0.4% with financials accounting for about half of the move, and also weighed down by miners following soft China manufacturing data.

News flow was not exactly supportive, with continued trade policy uncertainty clouding the outlook, and the collapse of the Dutch government following an immigration policy row with far right leader Geert Wilders.

The AEX .AEX index in Amsterdam was down 0.5%, broadly aligned with other country indices, and lender ING INGA.AS fell as much as 2% in a weak European banking .SX7P sector.

Elsewhere, Frankfurt's DAX .GDAXI was down 0.2% and the FTSE .FTSE in London fell 0.3%. Aerospace and defence stocks .SXPARO grinded higher, and defensives such as telecoms and utilities outperformed.

Here is your opening snapshot:

(Danilo Masoni)

EARLIER ON LIVE MARKETS:

BEFORE THE BELL: FUTURES UP, MORE DEFENCE IN STOXX INDICES CLICK HERE

INFLATION TO SET THE TONE FOR ECB CLICK HERE