European stocks rise ahead of German, U.S. data; Dax up 0.18%

European stocks were higher on Wednesday, tracking Tuesday's Wallstreet rally as investors eyed the release of German consumer climate data, as well as a string of U.S. economic reports later in the day. 

During European morning trade, the EURO STOXX 50 rose 0.20%, France’s CAC 40 gained 0.29%, while Germany’s DAX 30 added 0.18%. 

The release of mixed U.S. economic data on Tuesday did little to shift expectations that the Federal Reserve will start to taper its stimulus program at one of its next few meetings.

Data showed that U.S. consumer confidence unexpectedly fell to seven month low in November, but a separate report showed that the number of building permits issued in the U.S. rose to the highest level in five years in October. 

Investors were eyeing preliminary euro zone inflation data, due out on Friday, amid expectations that the annual rate of inflation would rise to 0.8% in November, from October’s four year low of 0.7%.

Concerns over mounting deflationary pressures in the euro area prompted the European Central Bank to cut interest rates to a record low 0.25% at its November meeting. 

Financial stocks were broadly higher, as French lenders BNP Paribas and Societe Generale rose 0.27% and 0.66%, while Germany's Deutsche Bank added 0.17%. 

Among peripheral lenders, Spanish banks BBVA and Banco Santander gained 0.29% and 0.59% respectively, while Italy's Unicredit edged up 0.24%. 

Elsewhere, Orange climbed 0.44% after the Paris-based phone company agreed to sell its Dominican Republic unit to Altice, a cable and telecommunications investor, for USD1.4 billion. 

On the downside, hotel operator Accor plummeted 4.63% after saying it will separate the operation and ownership of hotels into two businesses. 

In London, FTSE 100 rose 0.21%, supported by sharp gains in the financial sector. 

Shares in HSBC Holdings gained 0.46% and Lloyds Banking advanced 0.57%, while Barclays and the Royal Bank of Scotland rallied 0.99% and 1.07% respectively. 

Mining stocks were also on the upside, as Glencore Xstrata climbed 0.42% and Randgold Resources gained 0.66%, while Polymetal jumped 1.08% and Vedanta Resources surged 1.99%. 

Tesco remained the worst performer on the index for the second consecutive session, down 3.03%, following reports the supermarket giant suffered a 6% drop in sales in the 12 weeks to November 10, leading to a 1.5% decline in its share of the multibillion Irish grocery market. 

In the U.S., equity markets pointed to a steady open. The Dow Jones Industrial Average futures pointed to a 0.09% increase, S&P 500 futures signaled a 0.05% gain, while the Nasdaq 100 futures indicated a 0.07% rise. 

Later in the day, Germany was to release the Gfk report on consumer climate. 

The U.S. was to release reports on durable goods orders and manufacturing activity in the Chicago area, as well as the weekly report on initial jobless claims. The Labor Department report was being released one day early due to the U.S. holiday.