Investing.com - European stocks were higher on Tuesday, as hopes for progress in Greek debt negotiations continued to lend some support and as markets awaited the release of euro zone manufacturing and service sector data later in the day.
During European morning trade, the EURO STOXX 50 gained 0.75%, France’s CAC 40 advanced 0.84%, while Germany’s DAX 30 climbed 0.81%.
Markets were jittery after euro zone finance ministers failed to reach agreement over Greece’s bailout at an emergency meeting on Monday, but indicated that a final deal could be made later this week.
Eurogroup head Jeroen Dijsselbloem said new reform proposals from the Greek government were “broad and comprehensive,” and a good basis to restart stalled negotiations.
But German Chancellor Angela Merkel and International Monetary Fund head Christine Lagarde both warned that there was still a lot of work to be done.
Earlier Tuesday, research group Markit said that Germany's manufacturing purchasing managers' index rose to 51.9 in June from 51.1 in May, beating expectations for a reading of 51.3.
Germany's services PMI rose to 54.2 this month from 53.0 in May, compared to expectations for an unchanged reading.
Financial stocks were broadly higher, as French lenders BNP Paribas (PARIS:BNPP) and Societe Generale (PARIS:SOGN) rallied 1.10% and 1.09%, while Germany's Deutsche Bank (XETRA:DBKGn) and Commerzbank (XETRA:CBKG) advanced 0.74% and 1.54%.
Among peripheral lenders, Italy's Intesa Sanpaolo (MILAN:ISP) gained 0.83%, while Spanish banks BBVA (MADRID:BBVA) and Banco Santander (MADRID:SAN) rose 0.32% and 0.87% respectively.
On the downside, Bouygues (PARIS:BOUY) SA dropped 0.97% as CEO Martin Bouygues was scheduled to stand before his board later Tuesday after having made the decision to either accept an $11 billion offer from rival Patrick Drahi either continue a price war that has weighed heavily on industry profits.
In London, FTSE 100 edged up 0.15%, boosted by Ladbrokes Plc, whose shares soared 10.81% after the betting company confirmed it is in merger talks with Gala Coral Group Ltd.
Intercontinental Hotels Group (LONDON:IHG) added to gains, with shares rallying 1.70% after the stock was upgraded at Credit Suisse (SIX:CSGN) Group AG.
Meanwhile, financial stocks were mixed. Shares in Lloyds Banking (LONDON:LLOY) edged up 0.07% and the Royal Bank of Scotland (LONDON:RBS) added 0.18%, while Barclays (LONDON:BARC) dipped 0.01% and HSBC Holdings (LONDON:HSBA) slipped 0.17%.
In the mining sector, stocks were broadly lower. Glencore Xstrata (LONDON:GLEN) saw shares edge down 0.16% and Bhp Billiton (LONDON:BLT) fell 0.37%, while Rio Tinto (LONDON:RIO) and Anglo American (LONDON:AAL) declined 0.54% and 0.64% respectively.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.19% gain, S&P 500 futures signaled a 0.22% rise, while the Nasdaq 100 futures indicated a 0.24% increase.