European stocks rise awaiting data-heavy week

European stock markets rose on Monday, with London closed for a bank holiday, as investors awaited important corporate results and economic data due out this week.

In afternoon deals Frankfurt's DAX 30 index climbed 1.16 percent compared with Thursday's close to 11,587.43 points, and the CAC 40 in Paris added 1.13 percent to 5,103.35.

Madrid's Ibex-35 gained 0.44 percent and Milan's FTSE Mib advanced 0.97 percent after the long May 1 weekend.

Switzerland's SMI moved 0.35 percent higher as share prices of Swiss agro-chemical company Syngenta surged 8.17 percent on unconfirmed reports US giant Monsanto is interested in a merger.

Markets across Europe rebounded into the black from early losses following publication of Markit Economics's closely-watched Purchasing Managers Index (PMI) for the eurozone that showed manufacturing continued to expand in April.

The final eurozone manufacturing PMI came in at 52.0, up from the initial estimate of 51.9 but down from the 52.2 in March.

The index, which is calculated from surveys of business, is seen as a reliable indicator of economic trends. A score above 50 indicates expansion.

US stocks opened higher similarly heartened by indications of renewed economic life in Europe.

Five minutes into trade, the Dow Jones Industrial Average was up 0.19 percent to 18,058.59 points.

The broad-based S&P 500 rose 0.39 percent to 2,116.49, while the tech-rich Nasdaq gained 20.78 points 0.41 percent at 5,026.12.

- 'No more liquidity' -

Back in Europe traders remained mindful of ongoing negotiations between Greece and its international creditors to free up 7.2 billion ($8 billion) in bailout money Athens sorely needs to run the government and honour looming debt repayments.

The fractious talks to unblock the funds have stalled amid Athens' resistance to accept tough reforms creditors demand, raising the spectre of a potential Greek default and unruly euro exit -- or "Grexit" -- should no deal be concluded.

On Monday Greek officials requested creditors give them some financial breathing space based on progress already made towards an overall accord, saying "there is no more liquidity in the Greek economy."

The plea was made as Athens scrambles to come up with a total of one billion euros in loan repayments due to the IMF by mid-May.

"We continue to see a 70 percent probability that, possibly with quite some political noise in Athens in the meantime, Greece will strike a deal in the end and stay in the euro, with a 30 percent risk of Grexit," said Berenberg chief economist Holger Schmieding.

"Things may get lively in the next few days as the ECB will reportedly discuss Greece on 6 May and Eurogroup finance ministers may demand serious progress before their 11 May meeting."

That mix of factors played into the euro's renewed weakening against the dollar, dropping to $1.1168 from $1.1200 in New York late Friday.

"Another big week for the dollar as markets await the US non-farm payrolls report this Friday," Phillip Futures said in a market commentary.

"A strong labour market report will likely strengthen the dollar. Conversely, weak data is likely to push the dollar down."

Most Asian stocks posted cautious gains following Friday's stronger Wall Street finish, and with markets in Tokyo, Thailand and Malaysia shut for public holidays.

Asian markets were also buoyed by gloomy Chinese economic data that heightened expectations for more stimulus measures, after a survey of manufacturing activity recorded China's worst contraction in a year in April.

Shanghai added 0.87 percent, Seoul closed up 0.24 percent and Sydney rose 0.23 percent, while Hong Kong stocks ended down 0.03 percent.