- The pan-European Stoxx 600 provisionally ended around 0.1% higher, with tech stocks adding 1.5% to lead gains. Mining stocks, meanwhile, slipped 1.7%.
- Germany's DAX was the standout performer among major bourses, jumping to a fresh all-time high.
- Deutsche Wohnen shares climbed more than 15% after announcing that it had agreed to a $22 billion takeover bid from Europe's largest residential property company Vonovia.
LONDON — European stocks closed mixed on Tuesday as easing inflation fears lifted market sentiment worldwide.
The pan-European Stoxx 600 closed around 0.03% higher, with tech stocks adding 1.3% to lead gains. Mining stocks, meanwhile, slipped over 1.7%.
Germany's DAX was the standout performer among major bourses, jumping to a fresh all-time high.
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The latest Ifo business climate survey from Germany on Tuesday showed business morale climbing to a two-year high of 99.2 in May from April's 96.6. However, German gross domestic product shrank by more than expected in the first quarter, contracting by 1.8% as coronavirus restrictions weighed on household spending.
Meanwhile, political fallout over Belarus' "hijacking" of a Ryanair plane continued. President Alexander Lukashenko's government forced the Lithuania-bound plane to land in Minsk, citing a potential security threat on board. State media in Belarus said Lukashenko had personally given the order.
Police arrested Raman Pratasevich, a prominent critic of Lukashenko, when passengers disembarked in Belarus' capital city. His girlfriend Sofya Sapega, a 23-year-old Russian citizen studying at the European Humanities University in Lithuania, was also detained.
European leaders agreed to enact more sanctions on Belarus at a meeting on Monday and pushed for the immediate release of Pratasevich and Sapega.
Stateside, U.S. stocks gained for a second consecutive trading session. The major averages rose on Monday, led by tech stocks and companies that benefitted from a strong reopening from the pandemic as Covid cases dropped to their lowest level since June.
Vonovia, Deutsche Wohnen on the move after takeover deal
Vonovia's share price fell 6% on the news. At the bottom of the European blue chip index, British travel booking service Trainline fell 8% as it continues to reel from the U.K. government's planned overhaul of its rail system.
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