European stocks mixed on E.Z. doubts; DAX up 0.21%

Investing.com - European stock markets turned mixed on Monday, as weaker-than-expected euro zone PMI data overshadowed hopes for an imminent solution to the region's debt crisis.

During European afternoon trade, the EURO STOXX 50 eased down 0.02%, France’s CAC 40 advanced 0.24%, while Germany’s DAX 30 gained 0.21%.

Preliminary data showed earlier that manufacturing activity in the euro zone slumped to a 27-month low in October. Service sector output in the single-currency bloc also declined to a 27-month low, adding to fears that the euro zone could be slipping into a recession.

Over the weekend, European leaders appeared to be moving closer to a new plan to stem the region's financial crisis, including measures to recapitalize banks and boost the firepower of the euro zone's bailout fund, but divisions remained over restructuring Greek debt.

The financial sector was mixed, with shares in France's Credit Agricole jumping 1.05% and Societe Generale climbing 1.90%, while BNP Paribas shares fell 0.09%.

Germany's Deutsche Bank trimmed earlier gains, with shares still up 0.27%. Meanwhile, peripheral lenders were mixed, as Spain's Banco Santander advanced 0.56%, BBVA eased up 0.16%, and Italian lender Intesa Sanpaolo shed 0.86%

Elsewhere, shares in Switzerland's Swatch Group extended gains, soaring 3.96% on reports that the company's sales will exceed CHF7 billion this year and that September has been the watchmaker's strongest-ever month.

In London, commodity-heavy FTSE 100 advanced 0.44%, tracking gains in mining stocks and commodity prices. 

Mining giants Rio Tinto and BHP Billiton surged 5.33% and 3.76% respectively.
Copper producers also largely contributed to gains with shares in Kazakhmys and Xstrata skyrocketing 6.89% and 5.23%.

U.K. lenders were also on the upside, as shares in the Royal Bank of Scotland rose 1.84% and HSBC Holdings advancing 1.92%, while Barclays and Lloyds Banking soaring 2.37% and 4.65% respectively.

Elsewhere, U.S. equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a rise of 0.35%, S&P 500 futures signaled a 0.26% increase, while the Nasdaq 100 futures indicated an advance of 0.37%.

Also Monday, official data showed that industrial new orders in the euro zone rose significantly more-than-expected in August, climbing 1.9%, outstripping expectations for a 0.1% gain and rising for the first time in three months.