European Markets Rebounded After Monday's Weak Performance

(RTTNews) - The European markets bounced back from yesterday's pull back and finished Tuesday's session firmly in the green. Two factors that contributed to Monday's decline, crude oil prices and the Chinese stock market, stabilized today. The U.K. market returned to action following yesterday's Boxing Day holiday, but trading activity remained light in Europe ahead of Friday's New Year's Day holiday.

Mining stocks were still under pressure Tuesday, despite a slight recovery in the prices of precious metals. Home builders turned in a solid performance in London. Investors are of the opinion that the home builders will benefit from the severe flooding across northern England.

The Euro Stoxx 50 index of eurozone bluechip stocks increased 1.77 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, added 1.26 percent.

The DAX of Germany climbed 1.94 percent and the CAC 40 of France rose 1.81 percent. The FTSE of the U.K. gained 0.96 percent and the SMI of Switzerland finished higher by 1.64 percent.

In Frankfurt, Deutsche Bank rose 2.21 percent, after it agreed to sell its entire 19.99 percent stake in Hua Xia Bank to China's PICC Property and Casualty Company for 23.0 billion to 25.7 billion yuan.

Adidas advanced 2.45 percent. The company is not facing pressure to offload more assets, its finance chief said in an interview with the Financial Times.

In Paris, Technip increased 2.86 percent and Total added 1.84 percent.

Alcatel-Lucent rose 2.43 percent and Orange finished higher by 2.09 percent.

LVMH advanced 2.53 percent and Kering gained 1.93 percent.

In London, Anglo American dropped 6.31 percent after the mining giant agreed to sell its Dartbrook Coal Mine near Aberdeen to Australian Pacific Coal.

ZinCOx Resources tumbled 42.03 percent after the company said it would start cutting costs and jobs across the business in order to shore up its financial position.

Homebuilders climbed on news of severe flooding in northern England. Persimmon jumped 3.40 percent and Berkeley Group gained 2.71 percent. Barratt Developments closed up by 2.92 percent and Taylor Wimpey added 3.55 percent.

Germany's core and extra budgets of overall public budget showed a financial surplus of EUR 3.9 billion in the first three quarters of 2015, Destatis reported Tuesday. In the same period of last year, the overall public budget showed a cash deficit of EUR 20.8 billion.

Italy's consumer confidence weakened for the first time in five months in December, but less-than-expected, figures from the statistical office Istat showed Tuesday. The consumer confidence index dropped to 117.6 in December from 118.4 in the previous month. Economists had expected the index to fall to 117.0.

Spanish retail sales growth slowed at a faster-than-expected pace in November, the statistical office INE reported Tuesday.

Retail sales rose a seasonally and calendar-adjusted 3.3 percent year-over-year in November, much slower than the 6.0 percent gain in the previous month, which was revised from a 5.8 percent hike reported earlier. Economists had expected the growth to ease to 4.6 percent.

Home prices in major U.S. metropolitan areas rose by more than expected in the month of October, according to a report released by Standard & Poor's on Tuesday. The report said the S&P/Case-Shiller 20-City Composite Home Price Index climbed 0.8 percent in October after rising by a revised 0.5 percent in September.

Economists had expected the index to rise by 0.6 percent, which would have matched the increase originally reported for the previous month.

After reporting a moderate decrease in consumer confidence in the previous month, the Conference Board released a report on Tuesday showing that its U.S. consumer confidence index rose by more than expected in the month of December.

The Conference Board said its consumer confidence index climbed to 96.5 in December from an upwardly revised 92.6 in November. Economists had expected the consumer confidence index to rise to 93.5 from the 90.4 originally reported for the previous month.