European stocks lower ahead of German data; Dax down 0.42%

Investing.com - European stocks were lower on Tuesday, as China's downbeat data continued to feed concerns over the outlook for global economic growth, while markets eyed key German data later in the day.

During European morning trade, the EURO STOXX 50 retreated 0.50%, France’s CAC 40 slid 0.36%, while Germany’s DAX 30 shed 0.42%.

Investors remained cautious after official data showed that the Chinese economy expanded by 7.7% year-on-year in the three months to March, down from 7.9% in the fourth quarter and undershooting expectations for 8.0% growth.

Separate reports showed that Chinese industrial production also came in below expectations, while retail sales rose slightly more than forecast.

Financial stocks were mostly lower, as shares in French lenders BNP Paribas and Societe Generale declined 0.35% and 0.80%, while Germany's Deutsche Bank slipped 0.03%.

Among peripheral lenders, Spanish banks BBVA and Banco Santander retreated 0.59% and 0.76%, while Italy's Unicredit and Intesa Sanpaolo shed 0.12% and 0.08% respectively.

Elsewhere, LVMH plummeted 2.93% even as the luxury goods company said revenue climbed 6% to EUR6.95 billion in the three months through March.

On the upside, Paris-based Danone surged 3.86% after reporting first-quarter sales growth that beat estimates.

In London, FTSE 100 slid 0.38%, as U.K. lenders tracked their European counterparts lower.

Shares in HSBC Holdings declined 0.48% and the Royal Bank of Scotland retreated 0.78%, while Barclays and Lloyds Banking tumbled 1.01% and 1.07% respectively.

Meanwhile, mining stocks trended higher. BHP Billiton gained 1.27% and Rio Tinto rallied 1.69%, while rivals Fresnillo and Eurasian Natural Resources surged 4.54% and 4.64%.

Copper producers Xstrata and Kazakhmys were also on the upside, advancing 1.94% and 3.51% respectively.

Among earnings, Michael Page plunged 6% after the recruitment company reported a 6.7% decline in first-quarter gross profit and forecast the second quarter will be "challenging".

In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.52% gain, S&P 500 futures signaled a 0.55% increase, while the Nasdaq 100 futures indicated a 0.61% advance.

Later in the day, the euro zone was to publish official data on consumer inflation, while the ZEW Institute was to release its closely watched report on German economic sentiment.

The U.S. was to publish official data on building permits and on housing starts, followed by reports on consumer inflation, industrial production and the capacity utilization rate.

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