Frankfurt

Germany's blue-chip Xetra DAX index fell slightly on Friday and traders said Viag shares should continue to steal the spotlight amid an otherwise sleepy session.

By 0940 GMT shares in the German utility had swung to a 0.5% loss to 1,080 marks in active trade after an early surge on news the group planned to merge with Swiss industrial company Algroup.

"The swap ratio is in favour of Alusuisse so the stock is under pressure," one trader said.

Viag shares are to be swapped for 10 shares of the merged group and one Algroup share for 21.7 shares.

The electronically traded Xetra Dax index was down 0.3% at 5,051.78 points.

The floor Dax eased 0.1% to 5,048.37 points.

"The major event is Viag, otherwise little is going on," another trader said.

Traders said the market was pausing after the previous day's big gain and after Asian markets eased overnight.

Paris

Paris stocks opened lower on Friday, the market taking a breather after 1.7% gain in the previous session.

The CAC 40 was down 23.99 points, or 0.61%, at 3,891.54 at around 0910 GMT.

Sentiment was more cautious due to a lack of steer from Wall Street, which was closed on Thursday for Thanksgiving holiday.

But technical operators say market trend remains positive.

Oils continue to outperform after Exxon/Mobil merger talk sparks interest in the sector.

Total was up 1%, Elf was up 0.27%.

Usinor fell nearly 7% after saying Q4 performance will not be in line with target.