Wires

European shares fall on Asian growth concerns

* FTSEurofirst 300 down 0.9 pct, led by basic resourcesstocks

* World Bank cuts growth view on East Asia/Pacific

* Lender KBC lags after says to shut non-core businesses

By Francesco Canepa

LONDON, Oct 8 (Reuters) - European shares fell early onMonday, surrendering most of the previous session's gains on adowngraded growth outlook for Asia and as investors started toposition for a weak earnings season.

Basic resources

stocks fell 1.4 percent after theWorld Bank cut its economic forecasts for the East Asia andPacific region, saying the slowdown in China - the world'slargest consumer of raw materials - could get worse and lastlonger than expected.

"Everyone is trying to guesstimate if (China) is going tohave a hard landing or a soft landing," said Philippe Gijsels,head of research at BNP Paribas Fortis Global Markets inBrussels.

A touch of profit taking was, however, healthy in a marketthat posted strong gains in the third quarter, he said.

The FTSEurofirst 300

index rose 6.6 percent in themost recent quarter, lifted by expectations central banks woulddo more to shore up the global economy, but fell nearly 2percent from mid-September, when it hit a 14-month high.

The index was down 0.9 percent at 0755 GMT, having gained 1percent on Friday following better than expected U.S. jobs data.

"Synchronised quantitative and synchronised (economic)stalling appear to be offsetting each other fully currently,"Standard & Poor's Capital IQ said in a note.

It forecast "little equity upside" for the fourth quarter.

The World Bank downgrade estimate highlighted the extent ofthe global economic slowdown ahead of the third quarter earningsseason, which kicks off in the United States on Tuesday andlater this month in Europe.

Companies listed in the U.S. S&P 500

index wereexpected to show the first decline in earnings in three years,according to Thomson Reuters data.

"We'll have some cautious (corporate) guidance, whichnormally doesn't help markets," BNP's Gijsels said.

Debt-stricken Europe also faces a bumpy earnings season andBelgian banking group KBC

said on Monday it would closeits non-core businesses to bring down costs.

(Reporting By Francesco Canepa; Editing by John Stonestreet)

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ers Messaging: francesco.canepa.thomsonreuters.com@reuters.net))

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