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It comes after ratings agency Moody's announced that France could see its rating fall from its AAA level over the coming three months.
According to the firm, this is because the country may struggle with the costs involved in bailing out banks and other eurozone members.
The benchmark Stoxx Europe 600 index also dipped this morning, falling 1.4 per cent at 08:11 BST to close at 232.99.
Keith Bowman, equity analyst at Hargreaves Lansdown, told Reuters: "Investors' resolve is being tested quite considerably. The situation in Europe is still overhanging in a very large fashion."
He added that data indicating a slowing in the growth of the Chinese economy may also have contributed to the recent decline in investor confidence.
Hopes that a meeting between EU leaders will find a solution to the debt crisis recently boosted confidence among investors, prompting the Euro Stoxx 50 index futures to rise 1.1 per cent yesterday morning.
Posted by Greg Secker
