European Shares at Two-Month Lows on Inflation Fears

European shares fell to their lowest level in two months on Friday, continuing a global sell-off as investor sentiment was negatively affected by growing concerns about slowing economic growth and rising inflation.

The pan-European STOXX 600 index fell 1.3 percent, while the travel and leisure, banking and auto industry sectors led the decline, down more than two percent.

British online retailer AO World plunged 20.4 percent after it said revenue growth in the first half of the year was hit by a shortage of UK delivery drivers and other disruptions in global supply chains.

Daimler shares fell 2.1 percent even after it said its shareholders had voted to separate and list its trucking unit by the end of 2021.

BMW shares fell 0.9 percent despite the company raising its annual profit margin forecast.

Data released earlier revealed that manufacturing activities in Asia cooled in September, as signs of slowing Chinese growth and factory closures due to the Corona virus pandemic pressure on the economies of the region.