European stocks turn higher ahead of the US payrolls data

The European stocks erased early losses and swung back higher as sentiment got a boost from the rebound in oil prices, while a short-covering rally ahead of the US payrolls data also aids the minor-recovery in the domestic bourses.

However, the upside appears limited as investors remain cautious and refrain from creating fresh positions before the much awaited US labour market report.

Meanwhile, markets digest the latest trade data from the UK, which showed the deficit worsened in May.

Germany's DAX 30 index rises +0.44% to 9,454, while the UK's FTSE 100 index drops -0.17% at 6,475. Among other indices, the French CAC 40 index advances +0.29% to 4,129, while the Euro Stoxx 50 index gains +0.40% to 2,784.