European shares ended at their lowest in nearly 8 weeks on Monday as a sharp drop in the dollar and soaring oil prices hit exporters and raw material users such as DaimlerChrysler and chemicals firm BASF. Technology heavyweight Ericsson also fed market losses, shedding 4.8 percent as brokers cut their ratings after the telecoms equipment maker issued a disappointing outlook last week. The FTSEurofirst 300 index of pan-European blue chips slipped 1.7 percent to end at 980.1 points -- its worst closing level since Sept. 1. The narrower DJ Euro Stoxx 50 index sank 2.0 percent to 2,734.4 points. "Although third-quarter earnings in the United States and Europe are beating expectations so far, the margin is lower than has been seen in previous quarters and company guidance appears less optimistic than previously," said strategist Walter Kemmsies at J.P. Morgan. Investment banks Morgan Stanley and Lehman Brothers both lowered their ratings on Ericsson following forecasts on Friday that market growth would slow next year, with investors appearing unimpressed by the company's big jump in third-quarter profits. --More 0001 Local Time 2101 GMT
