Investing.com - European stocks opened higher on Tuesday, as investors eyed the release of German economic sentiment data due later in the day, as well as the Federal Reserve's policy statement on Thursday.
During European morning trade, the EURO STOXX 50 advanced 0.41%, France’s CAC 40 climbed 0.46%, while Germany’s DAX 30 gained 0.40%.
Investors remained cautious amid speculation that mixed U.S. economic reports and recent volatility in global financial markets will prompt the U.S. central bank to refrain from hiking interest rates on Thursday.
Fed Chair Janet Yellen has said that an interest rate increase is data dependent but has also indicated that she expects to begin raising rates before the end of the year.
On Monday, data showed that the euro zone's industrial production rose 0.6% in July, beating expectations for an uptick of 0.3%.
On a yearly basis, the bloc's industrial production increased by 1.9% un July, compared to expectations for a 0.6% rise.
Financial stocks were broadly higher, as French lenders Societe Generale (PARIS:SOGN) and BNP Paribas (PARIS:BNPP) gained 0.41% and 0.62%, while Germany's Deutsche Bank (XETRA:DBKGn) rose 0.37%.
Deutsche Bank made headlines earlier, with reports saying it aims to cut roughly 23,000 jobs, or about one quarter of total staff
Among peripheral lenders, Italy's Unicredit (MILAN:CRDI) and Intesa Sanpaolo (MILAN:ISP) advanced 0.47% and 0.97% respectively, while Spanish banks BBVA (MADRID:BBVA) and Banco Santander (MADRID:SAN) added 0.25% and 0.37%.
Elsewhere, Daimler AG (XETRA:DAIGn) rallied 1.08% after its chief executive officer said the automaker's growth momentum in China will last through 2016.
In London, FTSE 100 edged up 0.09%, as U.K. lenders tracked their European counterparts higher.
Shares in the Royal Bank of Scotland (LONDON:RBS) and Lloyds Banking (LONDON:LLOY) rose 0.28% and 0.39% respectively, while HSBC Holdings (LONDON:HSBA) and Barclays (LONDON:BARC) gained 0.42% and 0.51%.
Ocado (LONDON:OCDO) Group Plc added to gains, with shares surging 4.06% after the online supermarket said its quarterly revenue increased.
Meanwhile, mining stocks were broadly lower on the commodity-heavy index. Shares in Fresnillo (LONDON:FRES) declined 1.01% and Bhp Billiton (LONDON:BLT) tumbled 1.36%, while rivals Rio Tinto (LONDON:RIO) and Glencore (LONDON:GLEN) plummeted 1.49% and 1.64% respectively.
In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.05% uptick, S&P 500 futures signaled a 0.06% gain, while the Nasdaq 100 futures indicated a 0.06% rise.