Europe: London stocks drag shares lower as Glencore, oil stocks weigh

"Progress has been made but doubts are creeping if a deal will be reached before another week passes," Edward Moya, a senior market analyst at Oanda wrote in a note.

"This is another positive signal at a time of still considerable uncertainty," said Chris Bailey, European strategist at Raymond James."Conditions are still extremely difficult, and subject to negative revision, but today they have seen a chink of light." UniCredit was down 3.9 per cent as it vowed to stay out of a possible merger wave in Italy after reporting higher than forecast quarterly results.

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