European shares sag as Eutelsat and Drax drop

* Morgan Stanley (Xetra: 885836 - news) raises "defensive" stocks to overweight (ADVISORY- Reuters plans to replace intra-day European and UK stock market reports with a Live Markets blog on Eikon (see cpurl://apps.cp./cms/?pageId=livemarkets for site in development). MILAN, May 16 (Reuters) - European shares fell on Monday with satellite operator Eutelsat and power station company Drax slumping after broker downgrades. Leading investment bank Morgan Stanley also advised investors to stick with