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European Markets Close Higher

European markets ended mostly higher on Tuesday amid signs the spread of coronavirus is slowing and on hopes central banks will come up with fresh stimulus measures to boost economic growth.

A firm trend in the U.S. market thanks to recent fairly strong earnings announcements and economic data aided sentiment.

The pan European Stoxx 600 ended up 0.9%. Among the major indices in Europe, the FTSE 100 closed 0.71% up, France's CAC 40 advanced 0.65% and Germany's DAX climbed 0.99%, while Switzerland's SMI gained 0.5%.

Among other markets in Europe, Austria, Belgium, Denmark, Finland, Greece, Ireland, Italy, Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden and Turkey ended with sharp to moderate gains.

Czech Republic and Iceland closed with modest losses.

In the German market, Lufthansa and Deutsche Telekom both ended stronger by about 3.75%. Deutsche Bank gained 2.8%, while Covestro, Wirecard, Infineon, Volkswagen, E.ON, Fresenius, RWE, SAP and Deutsche Post gained 1 to 3%.

In France, Technip shares gained nearly 5%. STMicroElectronics, Air Liquide, BNP Paribas, Engie, Veolia Environment, Unibail Rodamco, ArcelorMittal, Peugeot, Airbus Group and AXA closed higher by 1 to 2.5%.

Michelin declined by about 3%. Renault and Publicis Groupe ended moderately lower.

In the UK market, TUI soared more than 13% after the company said losses narrowed in the first quarter.

Just Eat shares gained about 5.2%. EasyJet, International Consolidates and JD Sports gained 3.2 to 4%.

NMC Health shares ended nearly 16% down after private equity firm KKR ruled out a bid for NMC. The stock soared 32% in the previous session after the company announced preliminary interest from KKR and GKSD Investment Holding.

Tesco and Compass Group both ended lower by 1.15%.

In economic news, the UK economy stalled in the fourth quarter as uncertainty around Brexit and the general election weighed on investment and spending, first estimates from the Office for National Statistics showed.

Gross domestic product remained unchanged from the previous three months, as expected, after expanding by a revised 0.5% in the third quarter.

UK consumer spending grew strongly at the start of the year and consumer confidence hit its highest level in more than three years, survey data from Barclaycard showed.

Consumer spending grew 3.9% year-on-year in January, led by a 4.3% increase in fuel spending and a 3.7% climb in supermarket sales.

The UK goods trade balance showed a surplus for December, defying expectations for a bigger deficit, figures from the Office for National Statistics showed. The visible trade balance swung to a surplus of GBP 845 million from a GBP 4.947 deficit in the previous month.

Meanwhile, according to reports, the number of confirmed infections due to coronavirus in China grew, to at least 42,638 from about 40,000 a day earlier. However, the daily tally of new cases have dropped compared with previous days.

Hubei recorded 2,097 new infections on Monday, compared with 2,618 a day earlier.

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