(MENAFN- AFP) Europe's main stock indices rose Tuesday as data showed that investors see the current economic situation in Germany as being the best in over four years.
Frankfurt's DAX 30 index rose 1.16 percent from Monday's closing level to stand at 12,029.31 points in afternoon trading.
Elsewhere, London's FTSE 100 index rose 0.41 percent to 7,081.13 points and in Paris the CAC 40 climbed 0.46 percent to 5,211.34 points.
And the euro retreated to $1.0692 from $1.0741 late in New York on Monday.
In Frankfurt, a leading survey showed that German investor sentiment fell for the first time in six months in April as weak global growth weighed on confidence.
The widely watched investor confidence index calculated by the ZEW economic institute slipped by 1.5 points to 53.3 points in April, disappointing analysts' expectations for a further increase this month, ZEW said in a statement.
But the sub-index measuring financial market players' view of the current economic situation in Germany jumped by 15.1 points to 70.2 points in April, its highest level since July 2011.
"The April reading of ZEW only disappointed at first glance," said BayernLB economist Stefan Kipar.
"Overall, the data are positive. The German economy remains on a recovery path and the framework conditions -- a weak euro and low oil prices -- continue to be favourable," Kipar said.
"Germany is doing fine," agreed Berenberg Bank economist Holger Schmieding.
"In fact, it may now be doing so well that some observers believe it can't get much better," he said.
"Strong tailwinds from a robust labour market, low oil prices and a competitively priced exchange rate as well as the reform successes in countries such as Spain are propelling the German economy forward," Schmieding said.
Tuesday's gains follow a rebound on Monday after China announced a raft of stimulus measures to bolster growth.
- Athens 'collecting coins' -
Meanwile stocks in Athens plunged after the Greek government ordered all public agencies to hand over financial reserves to help meet urgent debt repayments.
The ATHEX benchmark index of top companies slumped 2.99 percent to 707.16 points in volatile trade, making it the worst performer in the region.
Prime Minister Alexis Tsipras's cash-strapped government had launched an appeal in March for public agencies to turn over their reserves on a voluntary basis. But a Monday decree made that compulsory and also affects local authorities.
With Greece trying to convince its international creditors on the reforms to be undertaken in exchange for some 7.2 billion euros in remaining bailout funds, it has been struggling to find funds to make loan repayments and avoid a default and possible euro exit.
"Athens has been hoovering up any spare cash from local authorities to show ... it means business; however, this is the political equivalent of collecting coins that have fallen down the back of the couch, but it may save them yet," said IG trader David Madden.
He expressed confidence a solution will eventually be reached.
"Despite the looming Eurogroup meeting at the end of the week to discuss Greece's finances, traders are confident the indebted nation will be given yet another chance," he said.
Tsipras will also meet Chancellor Angela Merkel of Germany, Europe's de facto paymaster, on Thursday on the sidelines of an EU summit.
- US higher on drugs -
US stocks opened higher Tuesday as Israeli pharmaceuticals giant Teva surprised the market with a $40.1 billion cash-and-stock bid for generic drug maker Mylan.
Five minutes into trading, the Dow Jones Industrial Average rose 0.32 percent to 18,092.22 points.
The broad-based S&P 500 rose 0.35 percent to 2,107.70, while the tech-rich Nasdaq Composite Index leaped 0.53 percent to 5,021.18.
Teva's cash-and-stock bid would quash a bid by Mylan earlier this month to acquire Perrigo for $28.9 billion.
Mylan shares surged 8.8 percent to $74.00 and Teva gained 1.8 percent at $64.42, while Perrigo slipped 0.7 percent to $196.75.
Asian equities mostly rose after overnight gains on Wall Street.
Hong Kong surged 2.79 percent, Tokyo stocks jumped 1.40 percent and Shanghai rallied 1.82 percent.
The gains reversed some of the losses suffered on Monday, partly on fears about Greece's future in the eurozone.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.