Europe open: Shares make cautious start as China news hits sentiment

European shares edged ahead at the open on Monday morning as news that China was not relaxing Covid restrictions hit sentiment.

The pan-regional Stoxx 600 index was up 0.24% in early deals with all major bourses weaker. Investors are eyeing US mid-term elections on Tuesday and inflation figures on Thursday.

Eurozone finance ministers also meet today, where officials will discuss coordination on energy support plans and to better prepare for the imminent recession.

Asian stocks shrugged off data showing an unexpected contraction in China's exports and imports last month. Exports fell by 0.3% and imports by 0.7% in October, against expectations of increases of 4.3% and 0.1% respectively.

In equity news, Ryanair shares gained as the low cost carrier reported record interim profits after a strong summer.

Flutter shares were up as Fox ended its legal battle with the gambling company over FanDuel’s price.

Telecom Italia shares surged on a report that major shareholder Vivendi wants to start talks on a new national broadband network with Italy’s new right-wing government.

Sports equipment maker Adidas fell as Moody's cut its ratings outlook to 'negative' from 'stable' after a lower earnings outlook.

Reporting by Frank Prenesti for Sharecast.com