DAX: 3349.81 (-65.59)

German shares ended bourse trade down nearly 2 per cent, catching up with losses in IBIS trade from Wednesday and reacting to fresh pressure from a weaker dollar and overnight Wall Street losses.

Traders said the drop may be the start of a long-awaited market correction in response to the recent heady gains, including a 20 per cent rise in the DAX in the last 10 weeks.

CAC-40: 2632.10 (-9.60)

The Paris Bourse suffered a moderate setback, the CAC-40 index finishing the day at 2632.10 points, off 0.36 percent by comparison with the Wednesday close. Operators commented that the day had marked the third straight session of profit-taking, which was encouraged by Wall Street's weakness.

Mibtel: 11881 (18)

Milan shares ended easier but off the day's lows helped by the rebound in domestic bonds, but the market mood remained cautious with Wall Street tumbling again and most European bourses moving in a negative direction.