Unilever shines as Q2 sales beat estimates
Miners jump as metal prices rally on China stimulus
Dassault System slides as quarterly results

July 25 Reuters European shares edged higher on Tuesday with miners and luxury stocks in the lead after China pledged more support for its slowing economy, but mixed earnings reports limited further upside in markets.

The panEuropean STOXX 600 index rose 0.2 after Asian stocks rallied on signs of more stimulus in China that would focus on boosting domestic demand.

Miners jumped 3.4 to lead gains in Europe as metal prices climbed on hopes of improving demand from top consumer China.

Luxury stocks such as LVMH and Richemont, which are heavily exposed to China, rose about 1 each.

However, a cautious mood prevailed in global markets as investors awaited monetary policy decisions from the Federal Reserve and the European Central Bank later this week, with both the banks expected to deliver 25 basis points rate hike each.

While traders are mostly betting it will be the Fed39;s last hike in this cycle, they are less certain about the outlook for euro zone interest rates.

A day after poor business activity readings on the euro zone, a survey showed German business morale clouded over in July for the third month in a row.

We predict the eurozone economy will be in recession through this year, Commonwealth Bank of Australia strategists wrote in a note.

Despite the weak PMI readings, the ECB will likely press ahead with a 25bp hike…