European stocks pause for breath at open

LONDON: European stock markets held steady at the opening of trade on Tuesday following surges the day before caused by the US bailout of former mortgage titans Fannie Mae and Freddie Mac.

In London the FTSE 100 index of leading shares was flat at 5,445.90 points, Frankfurt's DAX 30 eased 0.09 percent to 6,258.26 points and in Paris the CAC 40 dipped 0.11 percent to 4,335.02.

Global stocks had soared on Monday in a massive relief rally as fears of a global financial meltdown eased, dealers said.

Japanese share prices however closed down 1.77 per cent on Tuesday as investors took profits. Banking shares, some of which had soared on Monday, tumbled in Tokyo on concerns that a weak global economy will still take a toll on financial institutions, despite the US mortgage bailout, dealers said.