Investing.com - European stocks opened sharply higher on Monday, trasking their Asian counterparts despite the release of data showing that Chinese imports and exports fell far more than expected in January.
During European morning trade, the EURO STOXX 50 rallied 2.88%, France’s CAC 40 advanced 2.71%, while Germany’s DAX 30 surged 2.58%.
Data earlier showed that China’s exports fell 11.2% in January from the same month a year earlier, following a drop of 1.4% in December. Economists had forecast a far more modest decline of 1.9%.
Imports dropped 18.8% last month after falling 7.6% in December, compared to expectations for a 0.8% decrease.
Financial stocks were broadly higher, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) surged 3.46% and 4.84%, while Germany’s Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) rallied 2.55% and 1.76%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) soared 3.26% and 5.47% respectively, while Spanish banks Banco Santander (MC:SAN) and BBVA (MC:BBVA) jumped 2.84% and 1.85%.
Elsewhere, Orange SA (PA:ORAN) advanced 3.29% following reports the telecoms group could present a takeover of rival Bouygues (PA:BOUY) as early as Tuesday. Shares in Bouygues climbed 3.56% after the news.
In London, FTSE 100 rallied 1.83%, as U.K. lenders tracked their European counterparts higher.
Shares in HSBC Holdings (L:HSBA) jumped 1.39% and Lloyds Banking (L:LLOY) advanced 2.17%, while the Royal Bank of Scotland (L:RBS) and Barclays (L:BARC) surged 2.58% and 2.83% respectively.
Adding to gains, BAE Systems (L:BAES) rallied 1.78% after the defense firm appointed Charles Woodburn to the newly-created role of chief operating officer.
Meanwhile, mining stocks were mixed on the commodity-index. Glencore (L:GLEN) climbed 2.58% and Anglo American (L:AAL) soared 4.33%, while rivals Fresnillo (L:FRES) and Anglo American plummeted 2.73% and 2.76% respectively.
In the U.S., markets were to remain closed in observance of Presidents' Day.