* European shares fall as weak China data weighs on markets
* Expectations of ECB easing also impact euro
By Sudip Kar-Gupta
LONDON, March 8 (Reuters) - Global stock markets fell on
Tuesday after another batch of weak data from China reinforced
persistent concerns about a possible slowdown in the global
economy.
Exports from the world's second-biggest economy tumbled 25.4
percent in February compared with the same month last year,
while its imports dropped 13.8 percent.
The pan-European FTSEurofirst 300 index .FTEU3 fell 1
percent while the MSCI All-Country World index .MIWD00000PUS
weakened 0.3 percent.
Japan's safe-haven yen JPY= notched up gains while the
low-yielding euro EUR= moved up against the dollar on Tuesday
as appetite for riskier assets and currencies waned following
the weak Chinese data. FRX/
The soft Chinese exports figures also impacted oil and
metals prices. O/R MET/L
"At the moment we're in a bear stock market. Everyone's
looking for an excuse to sell out, and the reason today for a
lot of investors is the weak China data," said Andreas Clenow,
hedge fund principal and trader at ACIES Asset Management.
The MSCI Emerging Market index .MSCIEF fell 0.7 percent
while U.S. stock index futures SPc1 also declined.
The euro was also impacted on currency markets by
expectations of more monetary stimulus measures by the European
Central Bank (ECB) this Thursday, as the ECB seeks to boost
economic activity within the euro zone.
Already struggling with ultra low inflation after years of
crisis, the ECB has all but promised policy easing on Thursday
but the devil will lie in the details.
A small 10 basis point cut to push its deposit rate deeper
into negative territory is a foregone conclusion while some type
of adjustment of the bank's 1.5 trillion euro asset purchase
programme is also near certain.
Nevertheless, investors expressed uncertainty over the
extent of the ECB's likely new measures on Thursday.
"We think the central bank will once again struggle to beat
high expectations, with the euro not likely to suffer
significantly after the announcement," BNP Paribas (PA:BNPP) analysts
wrote in a note to clients.