* STOXX 600 down 0.5 pct
* Britain's FTSE 100 hits another peak
* Fresenius falls after subpoena
* Casino buoyed by upgrade
(Adds details and quotes, updates prices)
By Kit Rees
LONDON, Jan 9 European shares edged lower on
Monday, while a rise among basic resources stocks helped
Britain's FTSE 100 index hit a record high.
The pan-European STOXX 600 index was down 0.5
The FTSE 100 gained 0.3 percent to 7,239.26 points,
putting it on track for its tenth straight session of gains.
"I think the appetite is there to keep (the FTSE) pushing
north. The week's earnings are going to provide a boost, I think
commodity prices seem to be holding up quite nicely, which is
good for the mining. The financials are still buoyed," Mike van
Dulken, head of research at Accendo Markets, said.
The basic resources sector rallied 0.1 percent.
A 5.1 percent fall in Deutsche Lufthansa's shares
weighed on travel and leisure stocks.
Telecoms were also on the back foot, down 1.4
percent and the biggest sectoral faller, with Vodafone
dropping 1.8 percent after UBS cut its target price on the
Germany's Fresenius Medical fell 6.3 percent after
it and U.S. rival DaVita Inc received subpoenas from
federal prosecutors investigating their ties with a charity that
helps patients pay for kidney dialysis.
British mid cap betting firm William fell 3.8
percent after reporting profit at the bottom of its guidance
Among top gainers, French retailer Casino Guichard
rose nearly 5 percent following an upgrade from Bank of America
Merrill Lynch, citing a simplification of the group's corporate
structure as a positive for the stock.
"Casino is unrivalled when compared to peers in terms of
future GDP and retail sales growth, in our view, with each of
its subsidiaries having strong market positions," analysts at
BofA Merrill Lynch said in a note.
Auto makers were also in focus, with shares in Volkswagen
rising 4.4 percent after the carmaker said brand
sales rose 2.8 percent in 2016, driven by China which is its
largest sales market.
Shares in Fiat Chrysler gained 2.8 percent
following news that it will invest 1 billion to modernize two
plants in the U.S. Midwest and create 2,000 jobs.
(Reporting by Kit Rees, Editing by Vikram Subhedar and John