Europe midday: Shares down as investors fret over inflation; Asos slumps

European stocks were slid lower at midday on Monday as investors fretted about persistent inflationary pressure while rising commodity prices lifted mining and energy shares.

The pan-European Stoxx 600 index was down 0.14% in London's energy-heavy FTSE outperforming, rising 0.3%.

Miners and energy firms were the main gainers as metals and oil prices rose, with Anglo American, Antofagasta, Glencore, BHP, Rio Tinto, BP and Shell all higher.

"Lumber, iron ore, coal, and crude and all pushing into long-term highs today, highlighting how the commodities space appears to bring the greatest area of opportunity at a time when markets appear at risk thanks to surging inflation and the potential for a monetary squeeze," said IG analyst Joshua Mahony.

"Inflation looks like it will be here for some time, and thus the ability to get long physical assets looks an attractive play at a time when traders question the stability of markets.

UK banks HSBC, Lloyds, Barclays and Natwest all rose after hawkish comments from Bank of England officials led to traders betting on a rise in interest rates next month.

In other equity news, UK online fashion retailer ASOS plunged 12.8% after it said chief executive Nick Beighton was stepping down and warned of a 40% drop in profits for 2022.

Swiss drugs company Idorsia fell 6.53% as a phase three study of its treatment for Fabry disease, which affects the nervous and cardiovascular system, failed to meet a primary endpoint.

German real estate investor Adler Group slipped 1.3% after it agreed to sell residential and commercial property worth €1.49bn to rival LEG Immobilien.

MorphoSys shares gained as its licensing partner Roche received breakthrough therapy designation by the US Food and Drug Administration for gantenerumab, a treatment for Alzheimer's disease.