Investing.com - European stocks were mostly higher on Monday, as growing expectations for additional easing measures by the European Central Bank continued to support.
During European morning trade, the EURO STOXX 50 added 0.19%, France’s CAC 40 edged up 0.18%, while Germany’s DAX 30 inched up 0.06%.
European equities strengthened after data on Friday showed that the annual rate of euro area inflation slowed to a five year low of 0.3% last month, down from 0.4% in October.
The weak data added to pressure on the ECB to step up measures to spur growth and stave off the threat of deflation ahead of its upcoming policy meeting on Thursday.
Earlier Monday, Markit research group said that Spain's manufacturing purchasing managers' index rose to 54.7 last month from 52.6 in October. Analysts expected the index to rise to 53.1 in November.
Financial stocks were broadly lower, as French lenders BNP Paribas (PARIS:BNPP) and Societe Generale (PARIS:SOGN) declined 0.78% and 1.05%, while Germany's Deutsche Bank (XETRA:DBKGn) and Commerzbank (XETRA:CBKG) retreated 0.72% and 0.62%.
Among peripheral lenders however, Unicredit dropped 0.42 and Intesa Sanpaolo jumped 0.98% in Italy, while Spanish banks BBVA (MADRID:BBVA) and Banco Santander advanced 0.72% 0.92%.
Elsewhere, Altice SA (AMS:ATCE) saw shares surge 5.08% amid reports the telecommunications company entered exclusive talks to acquire Oi SA (SA:OIBR3)'s Portuguese assets.
Pharmaceutical giant Novartis (SIX:NOVN) slid 0.32% after Italy’s drug regulator said it is investigating the deaths of people who took the group's Fluad influenza vaccine.
In London, FTSE 100 retreated 0.78%, weighed by losses in energy stocks after the Organization of Petroleum Exporting Countries decided last Thursday to keep its output target unchanged, sending oil prices sharply lower.
Shares in oil and gas giant Tullow Oil (LONDON:TLW) dove 7.52% and BG Group plunged 3.14%, while BP (LONDON:BP) tumbled 1.86%.
Mining stocks were also broadly lower, as Rio Tinto lost 1.52% and Glencore Xstrata (LONDON:GLEN) plummeted 2.64%, while Fresnillo (LONDON:FRES) declined 2.53% and Bhp Billiton dove 3.86%.
In the financial sector, stocks were on the downside. Shares in Lloyds Banking (LONDON:LLOY) fell 0.25% and Barclays dropped 0.80%, while the Royal Bank of Scotland (LONDON:RBS) and HSBC Holdings (LONDON:HSBA) retreated 0.86% and 1.03% respectively.
Meanwhile, Vodafone Group (LONDON:VOD) plummeted 2.53% following reports the U.K. phone company is considering a combination with John Malone’s Liberty Global Plc.
In the U.S., equity markets pointed to a lower open. The Dow Jones Industrial Average futures pointed to a 0.39% loss, S&P 500 futures signaled a 0.47% decline, while the Nasdaq 100 futures indicated a 0.23% fall.
Later in the day, the U.S. Institute of Supply Management was to release data on manufacturing activity.