Europe open: Shares edge ahead on talk Us-China tensions easing

European shares were higher at the open after a positive session in Asia overnight and suggestions that the US could ease tariffs on China.

The pan-regional Stoxx 600 index was up 0.4% in early deals with all major continental bourses higher. US markets had been closed overnight for the Independence Day holiday.

Investors were also cheered by data which showed China's June services activity growth beat expectations, while those in Japan expanded at the fastest rate in more than eight years.

A report that US President Joe Biden was mulling rolling back some tariffs on Chinese imports, as well as news that Chinese Vice-Premier Liu He had a "constructive" virtual dialogue with US Treasury Secretary Janet Yellen over economic co-ordination.

Markets will also be eyeing a deluge of PMI data from across the eurozone and UK later in the day.

In equity news, SAS fell 6.7% after it filed for bankruptcy and warned that a strike action by pilots had impacted its financial position and liquidity.

Shares in German gas giant Uniper rose as the government pondered taking a stake in the firm, which has been forced to buy gas at spot prices due to the war in Ukraine.

Remy Cointreau rose 4.6% after Jefferies upgraded the French spirits group's stock to ‘buy’ from ‘hold’.