European shares were little changed in choppy trade on Friday, as regional leaders agreed to work towards a new "fiscal compact" but made little firm progress in their efforts to stem the euro zone debt crisis at a crucial summit, according to Reuters. At 1025 GMT, the FTSEurofirst 300 index of top European shares was up 0.2 percent at 975.73 points. The index is down 13.2 percent in 2011, even after rising 8.5 percent last week on hopes the summit would find solutions. EU leaders agreed stricter budget rules for the euro zone, but failed to secure changes to the EU treaty among all 27 member states, meaning a deal will instead have to involve just euro zone states and any others that want to join. Banks, like other sectors, moved in and out of positive territory. The STOXX Europe 600 Banking Index rose 0.1 percent, but is down 32.7 percent in 2011. The sector largely shrugged off an announcement by Europe's banking watchdog that Europe's banks must find 114.7 billion euros of extra capital, more than predicted two months ago, to make them strong enough to withstand the euro zone debt crisis and restore investor confidence. However, traders pointed to some bond buying by the ECB on Friday morning, which helped shorter-dated Italian government bond yields fall from earlier highs. -- SPA
