(RTTNews) - The European markets fell for the first time in five days on Monday, as energy and mining stocks lost ground after crude oil and metals prices dropped.

Crude for October delivery fell $4.70 to $110.76 a barrel in electronic trading on the New York Mercantile Exchange, by the time the European markets closed, as weather forecasters said Hurricane Gustav was weakening as it headed toward the Louisiana coast. There was no floor trading due to the Labor day holiday.

The FTSEurofirst 300 index of pan-European blue chips closed 0.45% lower at 1,189.35 points, while the narrower DJ Stoxx 50 index fell 0.46% to 2,902.17 points.

Around Europe, the U.K.’s FTSE 100 index dropped 0.60% to 5,602.80, while France’s CAC 40 index slipped 0.23% to 4,472.13 and Germany’s DAX index fell 0.01% to 6,421.80.

Heavily weighted oil stocks slipped after crude oil prices dropped by more than $4 a barrel. BP, Europe’s biggest oil company, fell 1.5%, while Royal/Dutch Shell, the second biggest, slipped 1.8% and Total, the third biggest, dropped 2.3%.

Similarly, mining stocks came under pressure after copper, nickel and zinc prices slipped. BHP Billiton, the world’s biggest miner, fell 4.1%, while Anglo American, the second biggest, dropped 5.2% and Rio Tinto, the third biggest, slipped 4.2%. Copper miner Antofagasta lost 4.7%.

Commerzbank, Germany’s second biggest lender, tumbled 10.2% after the company agreed to buy Allianz’s Dresdner Bank for 9.8 billion euros.

On the other hand, oil sensitive airline and automotive stocks edged higher after crude oil prices fell. Air France-KLM, Europe’s largest airline, climbed 3.3%, while Lufthansa, the second largest, rose 2.1% and British Airways, the third largest, surged up 4.3%.

BMW, the world’s biggest maker of luxury cars, added 1.3%, while Daimler, the second biggest, rose 1.7% and Peugeot, Europe’s second biggest carmaker, gained 3.4%.

Michelin, the world’s second largest tiremaker, climbed 5.4% after Merrill Lynch upgraded the stock to ”buy” from ”neutral,” citing declining oil prices and an aging fleet of cars needing replacement parts.

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Posted in Categories: Eurozone, Releases, Stocks, UK.

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