Gold prices drew support from geopolitical tensions and a softer dollar.
The Allianz chief economic advisor says investors have been "conditioned" to believe that central banks will always have their backs.
European stocks finished Monday's trade mostly higher, as investors took note of stock news, while keeping watch of politics.
Euro zone banks are well prepared for sharp changes in interest rates, the European Central Bank said on Monday.
Filippo Alloatti, senior credit analyst at Hermes Investment Management, reacts to the European Central Bank's stress tests.
CNBC's Annette Weisbach reports from Frankfurt, Germany, on the European Central Bank's stress test results.
CNBC's Joumanna Bercetche reports from Luxembourg on German Finance Minister Wolfgang Schaeuble's final Eurogroup meeting.
The pan-European Stoxx 600 closed 0.16 percent higher with sectors pointing in different directions.
a narrowing U.S. trade deficit in August lifted the dollar index as gold flattened.
The U.S. dollar index rose to seven-week highs on Thursday as data pointed to solid U.S. growth.
Gold's gains cooled off as the U.S. dollar came off its lows.
The dollar weakened slightly against the euro on Tuesday as investors squared positions after a three week greenback rally.
Markus Schomer, chief global economist at PineBridge Investments, discusses the European Central Bank's quantitative easing program.
The U.S. dollar hit five-week highs against the euro on Tuesday before the greenback gave back some gains as the move was seen as overdone.
The euro zone's current account surplus supports the currency, but a U.S. tax cut could keep gains in check, says Elias Haddad, senior currency strategist, Commonwealth Bank.
Drew Matus of MetLife says for now in the US economy, he doesn't see any areas of risk, that assets are rich and fully-priced.
Both BofAML and Fundstrat issued reports touting value stocks such as financials and a stronger U.S. dollar, a strategy known as the reflation trade.
Hayden Briscoe, head of fixed income, Asia Pacific, UBS Asset Management, says the ECB may sit up and take notice as the Fed moves to unwind its balance sheet.
ECB policymakers disagree on whether to set a definitive end-date for their money-printing program when they meet in October.
The Federal Reserve is some ways away from its inflation target in the near term as the FOMC convenes for its September meeting. Mikio Kumada of LGT Capital Partners weighs in.