Investing.com - European stocks gained ground on Monday, as investors chose to ignore the downward trend in Asia and ongoing concerns over Chinese growth.
During European morning trade, the EURO STOXX 50 climbed 0.80%, France’s CAC 40 advanced 0.65%, while Germany’s DAX 30 gained 0.60%.
Sentiment had slightly recovered after the China Securities Regulatory Commission suspended its stock market circuit breaker and after the People's Bank of China set a higher yuan guidance rate for the first time in nine days late last Thursday.
But concerns over slowing growth in China persisted. While investors had expected the central bank to allow the yuan to fall further after last year’s 4.5% depreciation, the rapid pace of last week’s devaluation fueled fears that the world’s number two economy is growing even more slowly than expected.
Financial stocks were mixed, as Societe Generale (PA:SOGN) slid 0.44% and BNP Paribas (PA:BNPP) gained 0.58% in France, while Germany’s Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) declined 0.29% and 0.56%.
Among peripheral lenders, Italy’s Unicredit (MI:CRDI) and Intesa Sanpaolo (MI:ISP) advanced 0.43% and 0.60% respectively, while Banco Santander (MC:SAN) climbed 0.86% and BBVA (MC:BBVA) dropped 0.62% in Spain.
Elsewhere, Volkswagen (DE:VOWG_p) AG rose 0.24% after chief executive Matthias Müller apologized over last year's emissions scandal during his first U.S. trip and said the company would invest more money in the U.S. and create more jobs.
Electrolux , AB ser. A (ST:ELUXa) shares edged down 0.15% after announcing that Chief Executive Officer Keith McLoughlin will retire following last month’s collapse of the Swedish manufacturer’s $3.3 billion deal to buy General Electric (N:GE) Co.’s goods business.
In London, commodity-heavy FTSE 100 slid 0.28%, weighed by losses in the mining sector.
Shares in Bhp Billiton (L:BLT) tumbled 1.79% and Antofagasta (L:ANTO) lost 1.91%, while Anglo American (L:AAL) plummeted 2.44%.
Meanwhile, financial stocks were broadly higher. HSBC Holdings (L:HSBA) rose 0.34% and Barclays (L:BARC) gained 0.57%, while the Royal Bank of Scotland (L:RBS) advanced 0.81% and Lloyds Banking (L:LLOY) jumped 1.06%.
BAE Systems (L:BAES) was one of the top performers on the index, with shares surging 2.07% after the stock was upgraded to overweight by JP Morgan on Monday.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.36% rise, S&P 500 futures signaled a 0.58% gain, while the Nasdaq 100 futures indicated a 0.41% increase.