German data beats
On the data front, the German GfK consumer climate survey for February surprised on the upside. The forward-looking index showed an uptick to to 8.2 percent, against expectations of 7.6 percent.
Carsten Brzeski, a senior economist at ING, said this optimism should eventually feed through into the real economy.
"Unless all Germans all of a sudden have become a bunch of dreamers, a substantial acceleration of the economy should be in the making," he said in a research note.
Spanish retail sales for December showed a dip of 1 percent. This compares to November's figure which showed a gain of 1.8 percent.
In addition, euro zone-wide data showed that lending to households and companies contracted in December, and money supply growth slowed sharply. This may add to pressure on the European Central Bank to do more to support the euro zone's weak economy.
(Read more: Euro zone money supply dries up, pressuring Draghi)