(Corrects milestone in the first paragraph to show European
shares logged their worst slide in two months last week, not one
year. Corrects to say the STOXX 600 fell about 3% last week, not
4%, in second paragraph.)
Oct 7 (Reuters) - European shares dipped on Monday,
extending losses from their sharpest weekly slide in two months,
as weak data on German industrial orders underscored concerns of
a looming recession in the country while investors were on edge
ahead of crucial trade talks between the U.S. and China this
week.
By 0710 GMT, the pan-European STOXX 600 index was
down 0.1%, after it tumbled 3% last week on tensions over
transatlantic trade wars and a clutch of weak U.S. and European
data.
Germany's DAX declined 0.2% after data showed
German industrial orders fell slightly more than expected in
August.
A report that said China officials are increasingly
reluctant to agree to a broad trade deal with the United States,
kept investors nervous ahead of the trade negotiations starting
on Thursday.
Trade-sensitive automakers dropped 1%, leading
declines among major sectors.
London-listed shares of HSBC Holdings Plc fell 0.7%
after a report over the weekend said the banking group was
planning to cut up to 10,000 jobs to lower costs.
Austria's AMS rose 3.5% after the company said it
failed in its 4.5 billion euro ($4.9 billion) takeover attempt
of German lighting group Osram. Osram was the biggest
decliner on the STOXX 600, down 4%.
(Reporting by Medha Singh in Bengaluru; Editing by Bernard Orr)