Europe open: Markets in holding pattern ahead of ECB

European stocks got off to a quiet start as investors played it safe ahead of a string of key risk events which lay ahead.

As of 0828 GMT the benchmark Stoxx 600 index was lower by 0.10% or 0.30 points to 371.97, alongside a dip of 0.02% for the Dax and 0.26% in the Cac.

Figures released overnight revealed China fell into a trade deficit in February, to the tune of -$8.79bn - a rare occurrence.

Nonetheless, the figures might be interpreted as showing that Asia's largest economy was successfully transitioning away from an export-led growth model. In itself, that might help to address what the OECD identified the day before as one of the largest risks looming over the global economy - trade protectionism.

For his part, speaking at 1230 GMT the Chancellor was expected to outline measures in his Spring Budget to help working class families, a policy aimed at addressing what the OECD saw as another potential risk - inequality.

Against that backcloth, the monthly US ADP payrolls report was set for release at 1315 GMT. From one month to the next the ADP survey tended to be a less than reliable guide to the official jobs data published two days afterwards but over time it was used by many traders as a rough guide for the monthly non-farm payrolls figures.

Traders across capital markets would be listening in on the Chancellor's Spring Budget - while keeping an eye on Sterling - but moves were unlikely to be pronounced ahead of the ECB policy meeting on Thursday.

Investors were increasingly anxious to know if the improved growth prospects in the States, despite the lack of detail from the new administration on taxes - meant a shift in the ECB's policies was now closer on the horizon.

German industrial production grew 2.8% month-on-month in January (consensus: 2.7%), according to the Federal Office of Statistics.

Adidas sprints ahead

German footwear-maker Adidas reported a 18% jump in sales to €19.3bn on a currency neutral basis, with operating margins ahead by 1.7 percentage points to 7.7%. That drove a 41% rise in net income to €1.02bn.

Credit Agricole SA, France’s third-largest lender by market capitalisation, is considering hiving off its 31% stake in Banque Saudi Fransi in a transaction that might raise $2.4bn, Bloomberg reported.

Banca Monte dei Paschi di Siena SpA was aiming for an accelerated sale process of about €28bn euros of bad loans at less than 25% of gross book value, people familiar with the matter said to Bloomberg.