Global equity sell-off sends European shares sharply lower

European stocks slumped on Friday, tracking a sell-off in global equity markets that was sparked by jitters around the U.S. Federal Reserve's tightening pace and weak economic data.

The pan-European STOXX 600 dropped 1.3 per cent, following Asian and Wall Street sessions as investors anxiously looked forward to next week's Fed meeting for details on how it intends to tackle high inflation.

All sectors were in negative territory.


Miners were among the biggest decliners, with Anglo-Australian miner Rio Tinto tumbling 2.3 per cent after Serbia revoked its lithium exploration licences over environmental concerns, hurting the group's ambition to become Europe's largest supplier of the metal used in electric vehicles.

Airbus lost 1.7 per cent after saying it had cancelled a contract with Qatar Airways for 50 A321neo jets, broadening a $600-million-plus dispute with the Gulf carrier over the larger A350.

Siemens Energy plunged 8.5 per cent after cutting its forecast as wind unit Siemens Gamesa warned of prolonged supply chain issues, renewing pressure on the German firm to fully take over the unit.