LONDON, Jan 10: European stock markets fell on Wednesday as hefty losses in Asia added to disappointment after an uninspiring Wall Street performance overnight, dealers said.

London's FTSE 100 index of leading shares dropped 0.72 per cent to 6,151.40 points, in Frankfurt the DAX 30 index shed 0.98 per cent to 6,548.13 points and the Paris CAC 40 lost 0.81 per cent in value to 5,488.46 points.

The DJ Euro Stoxx 50 index of eurozone blue chip shares declined 1.02 per cent to 4,087.39 points.

The euro stood at 1.2998 dollars. US shares had closed mixed on Tuesday as the market braced for a wave of corporate earnings reports, with Apple Computer lifting the tech sector after unveiling its highly anticipated iPhone.

Japanese share prices closed down on Wednesday, sinking below 17,000 points as investors fretted about whether the Bank of Japan will hike interest rates next week, dealers said.

In European trading, Nokia, the world's leading mobile phone provider, saw its share price dive 1.94 per cent to 14.67 euros in Helsinki.

And Swedish peer Ericsson fell 1.42 per cent to 27.85 Swedish kronor.

The two companies have been hit hard by overnight news that Apple Computers has unveiled a new mobile phone -- the iPhone -- that could steal a significant share of the handset market.

In London, energy giants BP and Royal Dutch Shell were pulled down by weakness in oil prices, which remain close to 19-month lows on weak demand.

BP was showing a loss of 1.03 per cent at 530 pence while French peer Total was down 0.96 per cent at 51.35 euros.

In Frankfurt, Lufthansa tumbled 3.40 per cent to 21.59 euros as profit-taking set in from Tuesday's bumper gains, which were made on the back of low oil prices.

In US deals on Tuesday, the Dow Jones Industrial Average closed down 0.06 per cent at 12,416.60 points following a choppy day's trade.

The Nasdaq composite rose 0.23 per cent to close at 2,443.83 points, while the broad-market Standard and Poor's 500 index closed down a scant 0.05 per cent at 1,412.11.

In Asia on Wednesday, Tokyo's benchmark Nikkei-225 index of leading shares dropped 1.71 per cent to 16,942.40 points, more than wiping out Tuesday's gains.

Dealers said players opted to cash in some more of their gains from late last year after a mixed US performance overnight and a drop in world oil prices that pressured energy shares.

Hong Kong's key Hang Seng Index closed down 1.66 per cent at 19,568.34 points.—AFP