European stocks rebound, Asia mixed after weak China data

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European stock markets rebounded on Wednesday as bank shares recovered and after a mixed showing in Asia.

Data revealed China slipped into deflation, compounding worries about the world's second-biggest economy after the United States.

"Chinese economics dominates the headlines," noted Steve Clayton, head of equity funds at Hargreaves Lansdown. The 0.3-percent drop in China's July consumer prices was the first since the start of 2021 and comes as slowing domestic spending weighs on the country's economic recovery. An extended period of disappointing indicators out of Beijing this year has ramped up pressure on authorities to provide much-needed support to the economy.

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