European shares was 0.45 percent weaker at 1,095.5 points as investors mulled the prospect of rising U.S. rates and high oil prices, both of which squeeze company margins and can dent consumer optimism. Steel heavyweights such as Arcelor of France and Anglo-Dutch Corus came under pressure on fresh signs of soaring iron ore prices after China's Baosteel followed Japanese steel mills by agreeing to a 71.5 percent hike in iron ore prices. The European company results season chugged on, largely delivering as-expected performances and doing little to rekindle the mergers and acquisitions enthusiasm which recently helped sweep regional stock indexes to 32-month highs. French construction giant Vinci posted a 35-percent rise in annual net profit and offered a 50 percent rise in its dividend, which boosted its shares by 2.8 percent. U.S. crude oil futures eased slightly to $51.60 but remained well-supported amid a cold snap and in anticipation that U.S. distillate stocks will fall for a sixth consecutive week. New data on U.S. energy stockpiles is due for release at 1530 GMT by the Energy Information Administration.
