LONDON European share prices fell back in early trading on Wednesday as the fragile technology sector took a beating following a profit warning by German chip-maker Infineon.

In London, the FTSE 100 index of leading shares dropped 0.8 percent to 5,634.4 points, with twice as many losers as gainers.

The DAX 30 index gave up 0.9 percent to 5,870.91 points in Frankfurt, while in Paris the CAC 40 index eased 0.8 percent to 5,156.1 points.

Across the 12-nation euro zone, the STOXX 50 index nursed a loss of one percent at 4,155.67 points.

The euro was being traded at 0.8533 dollars.

The technology sector bore the brunt of the losses after Infineon warned it expected to post a loss before interest and tax of up to 600 million euros (510 million dollars) for the third quarter.

"Our third-quarter business will be significantly affected by worsened semiconductor market conditions," the group said.

The price of shares in Infineon fell by 13 percent to 30.40 euros in Frankfurt.

Investor appetite was further diminished by a lackluster session on wall street on Tuesday after a technology-driven rally fizzled out by the closing bell. The NASDAQ technology index clocked up a slim gain of 0.2 percent, while the dow Jones industrials fell 0.5 percent.

In Asia, Tokyo share prices put on 0.8 percent but Hong Kong stocks shed 1.6 percent.

Among the main losers from the Infineon warning, parent company Siemens gave up 4.1 percent to 71.50 euros in Frankfurt. Electrical components maker ==================Epcos Slid 2.6 percent to 63.80 euros.

French semiconductor maker ===============Stmicro electronics, which gave its own profit alert last week, slumped five percent to 36.1 euros.

British counterpart arm dropped 6.8 percent to 243.5 pence.

Also in London, telecoms equipment maker Marconi tumbled 7.9 percent to 244.75 pence following a welter of broker downgrades.

Market heavyweight Vodafone dipped 1.4 percent to 159.25 pence and BT slipped 2.2 percent to 426 pence.

Cable and wireless eased 2.5 percent to 393 pence amid rumors that it might also be lining up a profit warning. eaa0260 3 f 0380 gbr /afp-jr26 stocks-europe lead  european stocks suffer from infineon profit warning attention - corrects para 10 to show kong kong stocks fell 1.6 pct /// london, june 20 (afp) - european share prices fell back in early trading on wednesday as the fragile technology sector took a beating following a profit warning by german chip-maker infineon. in london, the ftse 100 index of leading shares dropped 0.8 percent to 5,634.4 points, with twice as many losers as gainers. the dax 30 index gave up 0.9 percent to 5,870.91 points in frankfurt, while in paris the cac 40 index eased 0.8 percent to 5,156.1 points. across the 12-nation euro zone, the stoxx 50 index nursed a loss of one percent at 4,155.67 points. the euro was being traded at 0.8533 dollars. the technology sector bore the brunt of the losses after infineon warned it expected to post a loss before interest and tax of up to 600 million euros (510 million dollars) for the third quarter. "our third-quarter business will be significantly affected by worsened semi-conductor market conditions," the group said. the price of shares in infineon fell by 13 percent to 30.40 euros in frankfurt. investor appetite was further diminished by a lacklustre session on wall street on tuesday after a technology-driven rally fizzled out by the closing bell. the nasdaq technology index clocked up a slim gain of 0.2 percent, while the dow jones industrials fell 0.5 percent. in asia, tokyo share prices put on 0.8 percent but hong kong stocks shed 1.6 percent. among the main losers from the infineon warning, parent company siemens gave up 4.1 percent to 71.50 euros in frankfurt. electrical components maker epcos slid 2.6 percent to 63.80 euros. french semi-conductor maker stmicroelectronics, which gave its own profit alert last week, slumped five percent to 36.1 euros. british counterpart arm dropped 6.8 percent to 243.5 pence. also in london, telecoms equipment maker marconi tumbled 7.9 percent to 244.75 pence following a welter of broker downgrades. market heavyweight vodafone dipped 1.4 percent to 159.25 pence and bt slipped 2.2 percent to 426 pence. cable and wireless eased 2.5 percent to 393 pence amid rumours that it might also be lining up a profit warning.