European stock indices were mixed on Friday, with the U.K. benchmark building on its post-Brexit recovery on rate-cut hopes.

The FTSE 100 was recently up 0.27% at 6,521.87, after rising 2.27% on Thursday after Bank of England Governor Mark Carney signaled a summer rate cut was in the pipeline to help offset post-Brexit fallout. Lackluster data today from Japan, including news that the economy has sunk further into deflation, and from China, where the Caixin purchasing managers' index fell more than expected and at the fastest pace in four months, spurred hopes of monetary easing in Asia too.

In the eurozone, the equivalent purchasing managers' index edged up to 52.8, better than expectations for a stable 52.6 index reading, while the index for Britain jumped much more than expected to 52.1, a rise of two full points. Markit's data was compiled largely before the outcome of last week's Brexit vote.

In Frankfurt the Dax was up 0.12% at 9,691.62 and in Paris the Cac 40 was down 0.03% at 4,236.82.

S&P 500 mini futures were down 0.26%.

Mining company BHP Billiton (BHP) was down 2.6% after a Brazilian court rejected a settlement over the Samarco dam burst, though fellow miners Randgold (GOLD - Get Report) and Fresnillo were among the lead gainers on the benchmark index.

Media group Trinity Mirror was up 4.3% at 91.23 pence after a trading statement which prompted Liberum analysts to retiterate their buy recommendation and raise their price target to 275 pence.

"The share price has fallen by 28% following the vote to leave the EU, shares look very cheap at c.2.5x FY'16E," noted the analysts.

In Paris carmakers Peugeot (PUGOY) and Renault (RNLSY) gained on strong figures from a French industry body for June.

In Milan leading banks UniCredit (UNCFF) and Intesa Sanpaolo (ISNPY) decline amid capital worries about the sector.

In Tokyo the Nikkei 225 closed up 0.68% at 15,682.48 and the Topix rose 0.69% to 1,254.44.

In Hong Kong the Hang Seng climbed 1.75% to 20,794.37. Casino operator Galaxy Entertainment was up 2.7% after data showed the pace of revenue declines in Macau casinos slowed in June from May.

On mainland China the CSI 300 was up 0.01% at 3,154.20.

The yield on the 10-year Japanese bond fell to a record low minus 0.245% and was recently down 4 basis points at minus 0.27%.

U.K. 10-year government bond, or gilt, yields were recently down 5 basis points at 0.81%, while the 10-year treasury yield was down 6 basis points at 1.41%.

The dollar had slipped 0.50% against the yen to ¥102.680, while rising against the pound. One pound recently bought $1,3272, a decline of 0.29%.

Brent crude was recently down 0.44% at $49.49 per barrel, while gold was up 0.87% at $1,333.44.