European stocks drop further

LONDON, Apr 8 (AFP): Europe's main stock markets retreated on Tuesday after the previous day's slump, as Ukraine-Russia tensions offset robust British manufacturing data.

London's benchmark FTSE 100 index dropped 0.76 per cent to 6,572.21 points in late morning deals.

In Paris, the CAC 40 index lost 0.51 per cent to 4,413.36 points and Frankfurt's DAX 30 shed 0.62 per cent to stand at 9,452.11 compared with Monday's closing values.

European equities were "pressured by fresh geopolitical drama together with declines on Wall Street overnight where tech stocks continued their descent amid worries about inflated valuations", said Ishaq Siddiqi, market strategist at ETX Capital traders.

European tech companies though rebounded from heavy losses on Monday, with British group ARM Holdings up 0.38 per cent to 976.18 pence.

Elsewhere, "markets again are on edge as this fresh escalation of the (Ukraine) crisis could see further turbulence in financial markets", said Siddiqi.

Russia warned Kiev on Tuesday that any use of force in Ukraine's east, where pro-Kremlin militants have seized government buildings in several cities, could tip the country into civil war.