Europe open: Stocks edge up as miners boosted by China data

European stocks edged higher in early trade, with miners supported by encouraging Chinese trade figures, as investors sifted through corporate releases.

At 0910 GMT, the benchmark Stoxx Europe 600 index was up 0.2%, Germany’s DAX was 0.4% higher and France’s CAC 40 was up 0.2%.

Meanwhile, oil prices ticked higher, with West Texas Intermediate up 0.6% at $53.31 a barrel and Brent crude up 0.7% at $56.01.

Sentiment got a lift on Friday after data released earlier showed Chinese exports rose 7.9% in January in dollar terms, marking the fastest pace in almost two years, while imports rose 16.7%. Both sets of figures beat economists’ expectations.

Basic resources were the standout gainers, with the Stoxx 600 sub-index for the sector up 2.1% as copper prices were boosted by supply concerns after the Chinese trade data suggested a strong demand outlook for the metal.

Results from steel giant ArcelorMittal also underpinned gains in the sector, as it said 2016 earnings rose to $6.3bn from $5.2bn the previous year.

French car maker Renault rallied after it said profit jumped 38% in 2016, while Reckitt Benckiser pushed up as it agreed to buy US infant formula maker Mead Johnson Nutrition for $16.6bn.

Luxury brand Kering rose after its 2016 profit beat analysts’ forecasts, but Belgian car parts maker Umicore was under pressure as it posted a mere 1% increase in full-year revenue.

Elsewhere, investors continued to keep a watchful eye on developments in Greece.

Deutsche Bank’s Jim Reid said: “It’s the standoff between the IMF and EU that is really the focus at the moment. Yesterday the IMF dug their heels in once again with spokesman Gerry Rice saying that the Fund stand by their analysis and reiterated their view that Greece should target a primary surplus target of 1.5% accompanied by significant debt relief. That contrasts to what the EU has been pushing for in no debt relief but more austerity and a primary surplus target of 3.5%.

“Interestingly a Bloomberg article broke last night suggesting that Greece’s creditors were readying a proposal, possibly as soon as today, on a framework of measures required to complete the bailout review. This apparently includes fiscal measures equal to about 2% of Greek GDP. So keep an eye on that this morning.”