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UPDATE 2-Slide in defence stocks knocks down Europe's STOXX 600

A sell-off in defence stocks dragged Europe's benchmark stock index lower on Tuesday, while investors braced for this week's crucial U.S. inflation data and the European Central Bank's monetary policy decision. Benchmark indexes in Germany, France and Italy lost between 0.9% and 1.3%. Defence-related stocks like Sweden's SAAB, Italy's Leonardo, Germany's Rheinmetall and France's Thales were among the top laggards on the STOXX 600, down between 4.9% and 9.8%.