MARKET TALK: EU Banks Sentiment Seen Upbeat Ahead Of Tests

0934 GMT [Dow Jones] Market sentiment toward the European banking sector is likely to continue to be supported in the run-up to the July 23 publication of the results of stress tests, as banks will obviously been keen to leak early if they know they have passed, says TD Securities strategist Richard Kelly. He points out that the stress tests "look unlikely to be a proactive force for strengthening the euro zone banking sector and therefore does not change our longer-term views on sluggish European growth and the focus on risks to the downside for the ECB and markets." (elena.berton@dowjones.com) Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com (END) Dow Jones Newswires July 08, 2010 05:34 ET (09:34 GMT)