European stocks mixed amid China, ECB easing talk; DAX down 0.20%

Investing.com - European stocks were mixed to higher on Thursday, as sentiment found support amid renewed expectations for further stimulus measures by China, while similar hopes continued to surround the European Central Bank.

During European morning trade, the EURO STOXX 50 rose 0.28%, France’s CAC 40 advanced 0.36%, while Germany’s DAX 30 fell 0.20%.

Sentiment found support after data showing that China's annual consumer inflation fell to a 30-month low in July added to speculation that the country’s central bank may implement further monetary easing.

Meanwhile, investors were also eyeing the ECB, amid expectations it will soon take steps to help lower Spanish and Italian borrowing costs after the bank indicated last week that it may restart its bond buying program.

Financial stocks were broadly higher, as shares in French lenders Societe Generale and BNP Paribas climbed 1.38% and 1.18% respectively, while Germany’s Deutsche Bank advanced 0.74%.

Peripheral lenders also contributed to gains. Italy’s Unicredit and Intesa Sanpaolo jumped 1.42% and 0.74%, while Spanish banks Banco Santander and BBVA rose 1.25% and 0.52% respectively.

Elsewhere, Nestle saw shares rally 1.24% after posting first-half sales growth that exceeded analysts’ projections.

Deutsche Telekom gained 0.65% after reporting second-quarter earnings that beat analysts’ estimates.

On the downside, French energy giant GDF Suez tumbled 1.93% following reports Belgium halted one of its seven nuclear reactors on suspicion that one of its components might be cracked.

GDF Suez, which operates Belgian nuclear plants through its unit Electrabel, confirmed that the reactor will remain closed.

In London, FTSE 100 eased up 0.04%, as investors awaited the release of U.K. trade balance data.

Standard Chartered remained sharply higher for the second consecutive session, surging 3.46%, after plummeting earlier in the week, as CEO Peter Sands hit back at a New York regulator’s claims the bank broke U.S. sanctions, and said he saw “no grounds” for revoking the lender’s license.

The U.K. lender is accused of scheming with the Iranian government to launder billions of dollars to potentially support terrorist activities.

Meanwhile, other financial stocks were broadly lower. Shares in the Royal Bank of Scotland dropped 0.83% and Lloyds Banking declined 0.48%, while Barclays fell 0.17%.

Mining stocks added to gains, as shares in Rangold Resources surged 3.39% and Evraz Plc climbed 1.61%, while copper producer Xstrata rose 0.27%.

In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.27% rise, S&P 500 futures signaled a 0.16% increase, while the Nasdaq 100 futures indicated a 0.35% gain.

Later in the day, the ECB was to release its monthly bulletin, while the U.S. was to publish official data on the trade balance and initial jobless claims.