By Sara Sjolin, MarketWatch LONDON (MarketWatch) — European stock markets moved cautiously higher on Friday after some upbeat data from China, although French stocks slipped after industrial production for the country unexpectedly dropped. The Stoxx Europe 600 index XX:SXXP +0.21% added 0.1% to 304.60, building on a 0.5% gain from Thursday. The benchmark was on track for a 0.2% rise on the week. Shares of Royal KPN NV NL:KPN +16.00% climbed 16% to 2.31 euros after Mexican telecom firm America Movil SAB de CV MX:AMXL +1.95% said it plans to make an offer for the Dutch firm at €2.40 a share ($3.21). Shares of Novozymes AS DK:NZYMB +2.37% rose 2.1% after the industrial enzymes producer reported a 13% rise in second-quarter profit. Shares of Nestle SA CH:NESN -1.82% dropped 1.8%, adding to a 2.2% loss from Thursday, when the maker of Kit Kat chocolate bars indicated it is facing challenges in both emerging and developed markets. More broadly, markets tracked gains in Asia, where Hong Kong stocks climbed after data showed July consumer prices in China rose 2.7%. The number matched the rate in June but was slightly weaker than expectations. Additionally, Chinese industrial production grew at the fastest pace since February, rising 9.7% from a year earlier. The data came a day after better-than-expected trade data from China also helped boost sentiment. Mining firms, which tend to rise on encouraging data from China, posted some of the biggest gains in Friday’s trade. “Commodity prices are highly correlated with expected Chinese demand and have been quite volatile in recent months; however with more consistent data coming through in China this is likely to provide an optimistic backdrop for the sector which should have a very positive impact for U.K.-listed global mining companies,� said Rebecca O’Keeffe, head of investment at Interactive Investor, in a note. Shares of BHP Billiton PLC UK:BLT +1.95% BHP +4.62% AU:BHP +1.78% added 2.3%, Rio Tinto PLC UK:RIO +3.23% RIO +1.83% AU:RIO +1.29% picked up 3.1% and Anglo American PLC UK:AAL +3.27% gained 3.8%. The gains for the miners helped lift the FTSE 100 index UK:UKX +0.44% 0.4% to 6,558.32. The trading day was not as bright in France, where the CAC 40 index FR:PX1 +0.03% slipped 0.1% to 4,060.15. Data from statistics bureau Insee showed industrial production unexpectedly dropped 1.4% in June from May, with output dropping across most sectors. Economists polled by Dow Jones Newswires had expected a 0.1% rise. Among other country-specific indexes, Germany’s DAX 30 index DX:DAX +0.08% rose 0.1% to 8,328.92. Sara Sjolin is a MarketWatch reporter based in London. Follow her on Twitter @sarasjolin.

Source