×

Europe closes positive as German data beats

European shares closed in positive territory on Tuesday as new data for Germany beat expectations and buoyed investor sentiment.

The pan-European FTSEurofirst 300 unofficially ended the session 0.6 percent higher at 1,360, with investors cheering new economic data from Germany. The keenly watched German ZEW indicator of economic sentiment came in at 11.5 points for November, versus -3.6 in October.

Tuesday's data was viewed as promising, given recent signs the German economy was slowing. The German DAX Index was Europe's top gainer and closed around 1.6 percent higher, with construction and auto stocks helping the bourse move higher.

Symbol
Name
Price
 
Change
%Change
Volume
FTSE
---
DAX
---
CAC
---
IBEX 35
---

Spain's IBEX 35 posted gains of around 1.4 percent, the French CAC provisionally closed 0.8 percent higher and London's FTSE 100 closed around 0.5 percent higher.

Read MoreKey German data looms: Time to loosen purse strings?

Meanwhile, U.K. inflation for October was also out on Tuesday morning. Consumer prices grew by 1.3 percent year-on-year, up from September's five-year low of 1.2 percent, according to official data.

Read MoreUK inflation edges up, meeting expectations

In stocks news, Prudential requested a trading halt on Tuesday morning when the insurer released earnings figures that showed business profits increasing 17 percent year-to-date. Shares closed around 1.1 percent higher after the resumption of normal trade in the afternoon.

Meanwhile, Balfour Beatty shares closed over 5.5 percent with the U.K. contractor releasing third-quarter results and confirming its full-year trading outlook.

In Asia, Japan's Nikkei 225 index recouped more than half of Monday's steep losses. U.S. stocks also rose.

Follow us on Twitter: @CNBCWorld