Dec 18 (Reuters) - European shares fell on Monday led by a decline in real estate stocks, while sentiment also took a hit after major central bank officials talked down prospects of nearing interest rate cuts.

The pan-European STOXX 600 shed 0.3% by 08:11 GMT, after its fifth straight weekly gain on Friday, its longest streak since April.

Real estate stocks dropped 0.9%, while telecoms rose 0.3%, led by a 4.3% rise in Vodafone on Iliad's proposal to merge their Italian businesses.

OCI jumped more than 9% after the Dutch chemicals maker said it had agreed to sell its stake in Iowa Fertilizer Company for $3.6 billion.

Meanwhile, Reuters reported that ECB policymakers were keen on retaining higher-for-longer interest rates message till March, making any cuts before June difficult.

For the week, investors will monitor the euro zone's November consumer prices, Japan's central bank decision and the U.S. Federal Reserve's preferred inflation gauge- personal consumption expenditure for November. (Reporting by Khushi Singh; Editing by Rashmi Aich)