The European ended the first day of the new trading week in the green. The rally in Asia sparked a positive open in Europe Monday. Investors in Asia had their first opportunity to react to the U.S. jobs report for June, which was released at the end of the previous trading week.
Concerns over global trade relaxed Monday, as investors took in some positive economic news from Germany and France. Also, hopes for a softer Brexit deal with the European Union were sparked by the resignation of Brexit Secretary David Davis.
In a letter to Prime Minister Theresa May, Davis said that the government's proposals for close trade and customs ties would leave the U.K. in "at best a weak negotiating position, and possibly an inescapable one."
France's is set to expand as previously estimated in the second quarter, according to a monthly survey from Bank of France.
The central bank forecast 0.3 percent growth for the second quarter, the same rate as estimated previously.
The pan-European Stoxx Europe 600 index advanced 0.67 percent. The Euro Stoxx 50 index of eurozone blue chip stocks increased 0.36 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, added 0.66 percent.
The DAX of Germany climbed 0.38 percent and the CAC of France rose 0.42 percent. The FTSE 100 of the U.K. gained 0.92 percent and the SMI of Switzerland finished higher by 0.72 percent.
In Paris, Elior Group advanced 1.69 percent. The company has launched an offer to purchase minority interests of Elior North America.
Air France KLM soared 6.34 percent after reporting 4.5 percent growth in passenger traffic for June.
Renault dropped 0.48 percent after its partner Nissan Motor said it would hold a press conference regarding procedures to measure vehicle exhaust gas at its domestic plants.
In London, BHP Billiton rallied 2.64 percent on the buzz that BP could buy its U.S. shale assets.
Gold mining firm Centamin sank 3.18 percent after reporting a significant drop in gold production for the second quarter from its Sukari Gold Mine in Egypt.
Cairn Energy climbed 2.41 percent after issuing an update on its ongoing arbitration with the Government of India under the UK-India Bilateral Investment Treaty.
Hikma Pharma tumbled 2.55 percent after it signed a licensing and distribution agreement with Omega Pharma.
Eurozone investor sentiment improved in July after a sharp slide in June, survey data from think tank Sentix showed Monday. The investor confidence index rose unexpectedly to 12.1 in July from 9.3 in June. The expected score was 9.0.
German exports rebounded from April despite trade war disputes, but imports growth weakened in May.
Exports grew by a more-than-expected 1.8 percent on a monthly basis in May, reversing a 0.3 percent drop in April, figures from Destatis showed Monday. Shipments were expected to gain 0.7 percent.
Meanwhile, imports rose at a slower pace of 0.7 percent after climbing 2.6 percent in the previous month. Nonetheless, this was the second consecutive rise and confounded economists' expectations for a 0.5 percent fall.
Consequently, the trade surplus rose to a seasonally adjusted EUR 20.3 billion in May from EUR 19 billion in April.
by P2PNews Staff Writer