European shares inched up early on Tuesday, halting the previous session's sell-off, but gains were limited following further losses on Wall Street, where investors continued to dump Internet stocks and switch into defensive sectors, according to Reuters. At 0704 GMT, the FTSEurofirst 300 index of top European shares was up 0.2 percent at 1,338.16 points, after losing 1.3 percent on Monday. Wall Street's Dow Jones industrial average fell 1 percent on Monday and the S&P 500 lost 1.1 percent. The Nasdaq, home of tech and biotech companies, lost 1.2 percent, posting its worst three-day decline since November 2011.