San Francisco Frontiers - Europe stocks down on weak Chinese data

Asian markets had ended mixed as a US tech rally initially buoyed investor sentiment.

London, Frankfurt and Paris were firmly in the red, after Hong Kong closed down 1.0 percent and Shanghai was off 0.1 percent.

Chinese data released on Tuesday showed slowing growth in July retail sales while industrial production fell short of analyst expectations.

The central bank also cut a key interest rate in a bid to boost growth, in a sign the country's post-Covid rebound is stuttering.

Worries have grown over the heavily indebted property sector and the future of massive developer Country Garden, which has warned of huge losses.

China's economy "has not only completely missed the expectation of a great post-Covid recovery, but deals with (a) deepening property crisis, morose consumer and investor sentiment", noted Swissquote analyst Ipek Ozkardeskaya.

Beijing also said it would stop reporting its youth unemployment rate, which hit a record 21.3 percent in June, prompting concerns over transparency.

"The lack of transparency continues to irk investors," said Stephen Innes of SPI Asset Management.

Markets have been "pretty choppy" as "growing concerns about Chinese property and the prospect of higher US rates have dampened risk appetite".

Gains by large tech companies including Amazon, Google parent Alphabet and Meta Platforms had lifted the Nasdaq by more than one percent at the close on Monday.

The sentiment initially carried through to Asia with Tokyo climbing 0.6 percent, boosted by a surge in tech firms and data showing the Japanese economy grew 1.5 percent in the quarter to June thanks to robust exports on the back of a weaker yen.

On foreign exchange markets, the ruble was trading around 98 to the dollar after Russia hiked its key interest rate to 12 percent following an emergency central bank meeting to stem a slide in the currency.

On Monday, the ruble crashed past 100 to the dollar, its lowest level since March 2022 -- following Russia's invasion of Ukraine and the imposition of Western sanctions.

Elsewhere, the dollar was holding steady above 145 yen, its strongest level against the Japanese currency since November.

- Key figures around 1015 GMT -

London - FTSE 100: DOWN 1.5 percent at 7,398.40 points

Frankfurt - DAX: DOWN 1.0 percent at 15,740.75

Paris - CAC 40: DOWN 1.1 percent at 7,267.59

EURO STOXX 50: DOWN 1.1 percent at 4,284.19

Hong Kong - Hang Seng Index: DOWN 1.0 percent at 18,581.11 (close)

Shanghai - Composite: DOWN 0.1 percent at 3,176.18 (close)

Tokyo - Nikkei 225: UP 0.6 percent at 32,238.89 (close)

Euro/dollar: UP at $1.0941 from $1.0908 on Monday

Pound/dollar: UP at $1.2721 from $1.2686

Euro/pound: UP at 85.98 pence from 85.97

Dollar/yen: UP at 145.59 yen from 145.50 yen

West Texas Intermediate: DOWN 0.8 percent at $81.89 per barrel

Brent North Sea crude: DOWN 0.6 percent at $85.71 per barrel

V.Mitchell--SFF