Europe open: Stocks drift as investors digest China trade figures

European stocks drifted in early trade, with investors digesting the latest trade data from China as they awaited fresh catalysts.

At 0900 GMT, the benchmark Stoxx Europe index and France’s CAC 40 were both 0.1% lower and Germany’s DAX was flat.

“Equities have started the day quietly drifting lower with little in the way of news to give investors a steer,” said Mike McCudden, head of derivatives at stockbroker Interactive Investor.

“Whether or not it's the calm before the storm remains to be seen but those looking for a Santa rally may be left disappointed. While investors remain concerned over the imminent US rate hike and weakness from China there appears to be little to persuade them back in to equities. Furthermore, with this weighing on commodity prices, equities should remain under pressure in the near term.”

With little in the way of market-moving news in Europe, investors digested Chinese trade figures, which showed an ongoing weak performance.

Exports fell 6.8%, their fifth straight month of decline and a sharper drop than expected, while imports were down 8.7%, which wasn’t quite as bad as expected.

The overall trade surplus came in at 343 billion yuan or $53bn.

Miner Anglo American was under pressure after saying it will suspend its dividend to investors this year and the next as it announced a "radical" portfolio restructuring and further material costs savings and capex reductions to combat declining commodity prices.

Rio Tinto was also under the cosh after saying 2016 group capital expenditure will be $1bn (£660m) less than forecast at $5bn (£3.3bn) as its cost-cutting regime continues.

French advertising company Publicis slid, with traders pointing to a Financial Times report that it has lost some US accounts with Procter & Gamble.

On the upside, French conglomerate Bouygues rallied following a media report that Orange is in talks to buy some of its assets.

Air France-KLM was in the black after it said the Paris terror attacks cost it €50m in lost revenue in November.

On the macroeconomic front, the final release of third quarter Eurozone GDP is at 1000 GMT. In the US, job openings and labour turnover figures for October are due at 1500 GMT.