By Sara Sjolin, MarketWatch

Euro slides to $1.0813

LONDON (MarketWatch) -- European stock markets moved sharply higher on Monday, boosted by easing hints from China, a slide in the euro and a round of solid economic data.

The trifecta of encouraging events was enough to outweigh ongoing concerns over Greece's struggle to reach a reform agreement with international lenders before it runs out of money.

Indexes: Trading in Europe was already upbeat from the morning, with sentiment getting a boost from Asia, where Chinese stocks jumped (http://www.wsj.com/articles/asian-shares-subdued-on-renewed-uncertainty-over-u-s-monetary-policy-1427681704) on comments more monetary easing could be on its way. The Stoxx Europe 600 index climbed 1.1% to close at 399.84, after last week posting its worst week since mid-December.

Germany's DAX 30 index rallied 1.8% to 12,086.01, moving back above the closely watched 12,000 level after losing its grip on it last week. The DAX jumped above 12,000 for the first time on March 16 (http://www.marketwatch.com/story/germanys-dax-30-just-broke-above-12000-but-its-still-not-too-late-to-buy-2015-03-16), but has struggled to extend its advance, and some analysts have said it is time to sell the German benchmark (http://www.marketwatch.com/story/it-is-a-perfect-time-to-say-auf-wiedersehen-to-the-dax-30-2015-03-20).

Richard Perry, market analyst at Hantec Markets, said the index got a boost from a declining euro (EURUSD) on Monday, as well as inflation data showing consumer prices grew 0.3% year-over-year in March, up from 0.1% in February. The euro traded at $1.0813, down from $1.0890 late Friday.

Elsewhere, France's CAC 40 index gained 1% to 5,083.52, while the U.K.'s FTSE 100 index put on 0.5% (http://www.marketwatch.com/storyno-meta-for-guid) to 6,891.43.

Other data: Economic confidence in the eurozone jumped to the highest level since the summer of 2011 (http://www.marketwatch.com/story/eurozone-business-confidence-jumps-in-march-2015-03-30-54852410) in March, indicating that businesses and consumers are becoming more optimistic about their prospects.

"Really encouraging news," said Howard Archer, chief U.K. and European economist at IHS Global Insight, in a note. "It is not just that overall economic sentiment across the eurozone rose markedly in March to a near four-year high, but also that major gains were seen for consumers, all business sectors and in most countries."

Spanish consumer prices dropped 0.7% in March, falling at a slower pace than the 1.2% reported in February. It was also a smaller decline than the 0.9% drop expected by economists.

Greek impasse: Greece's Syriza-led government on Friday presented ideas on fresh proposals for economic overhauls, but so far officials from the European Central Bank, the International Monetary Fund and the EU aren't convinced the suggested reforms are detailed enough (http://www.marketwatch.com/story/greeces-reform-proposals-lack-the-detail-needed-officials-say-2015-03-30). In February, Athens and the Eurogroup of finance ministers agreed to a four-month extension to Greece's bailout program, but the fiscally strapped country won't receive the much-needed aid until the two sides agree on a range of reforms.

With debt payments due over the next few weeks, the country will run out of money in April, unless the next portion of bailout cash is released, economists have suggested. Fitch Ratings late Friday downgraded Greece's sovereign-debt rating to "CCC" from "B," citing "uncertain prospects of timely disbursement from official institutions." Read: Eurozone return to crisis is biggest risk to global economy: Fitch poll (http://www.marketwatch.com/story/eurozone-return-to-crisis-is-biggest-risk-to-global-economy-fitch-poll-2015-03-30)

Greece and its lenders spent the weekend locked in talks and continued to discuss the reform plans in Brussels on Monday. Meanwhile, German Chancellor Angela Merkel spoke in Helsinki and insisted Germany wants to keep Greece in the eurozone, but that the reform program must "add up," according to reports (http://uk.reuters.com/article/2015/03/30/eurozone-greece-germany-idUKB4N0RB01W20150330).

Greece's Athex Composite Index shook off the concerns and ended 0.5% higher at 772.71.

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