LONDON, Feb 12 (Reuters) - European shares were flat on
Tuesday, with downbeat outlooks from firms such as Dutch
navigation devices and digital map company TomTom
hitting investor sentiment.
TomTom saw significant declines, off nearly 8 percent, after
saying it expects a sharp drop in earnings in 2013, knocked in
part by the weak state of the European car market.
The FTSEurofirst 300 was flat at 1,154.32 by 0813
GMT, after a 0.7 percent drop on Monday, having slipped around 2
percent from a two-year closing high reached on Jan. 29.
Fund managers indicated that the recent equity retreat
looked more like a pause than the start of a serious correction.
"Markets have run out of steam with the short base exhausted
which leaves little room for a short squeeze rally. Having said
that my feeling is that the dip will be bought as people need a
place to put their money," said Lex van Dam, hedge fund manager
at Hampstead Capital, which manages around $500 million assets.