By Sara Sjolin, MarketWatch

Talks are set to resume at lunch time

LONDON (MarketWatch) -- Greek stocks slumped in an otherwise upbeat European market on Monday, as the country's government scrambled to reach a reform agreement with international lenders before it runs out of money.

The Athex Composite Index dropped 1.4% to 758.10, setting it on track for the lowest close in over a week.

Meanwhile, European stocks more broadly rose on hints of more monetary easing from China.

Greece's Syriza-led government on Friday submitted a list of fresh proposals for economic overhauls, but so far officials from the European Central Bank, the International Monetary Fund and the EU are not 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 country doesn't actually get the financial 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."

Greece and its lenders spent the weekend locked in talks and will continue to discuss the reform plans in Brussels at 1 p.m. local time, or 7 a.m. Eastern Time, according to media reports.

Other markets: Trading in the rest of Europe was more upbeat, 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 399.76, after posting its worst week since mid-December last week.

France's CAC 40 index gained 1.1% to 5,091.14, Germany's DAX 30 index added 1.5% to 12,043.92, while the U.K.'s FTSE 100 index put on 0.7% (http://www.marketwatch.com/storyno-meta-for-guid) to 6,904.81.

Data: 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.

Consumer confidence data from the eurozone are due at 10 a.m. London time, or 5 a.m. Eastern, followed by German inflation numbers at 1 p.m. London time.

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