European markets close higher, tracking positive global momentum; NN Group up 10%

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Traders sit at their desk at the Frankfurt Stock Exchange.

Thomas Lohnes | Getty Images

LONDON — European stock markets closed higher on Tuesday, tracking global counterparts as investors look ahead to a fresh round of economic data this week.

The pan-European Stoxx 600 index ended 1% higher, with all sectors and major bourses in positive territory. Mining stocks added 2.1% to lead gains.

Major European indices advanced on Monday, though U.K. markets were closed for a public holiday.

Shares in Asia-Pacific rose overnight, building on the positive Monday session, as Hong Kong and mainland Chinese stocks led gains.

The momentum came after a winning day on Wall Street — a rarity in recent weeks — and U.S. stocks rose again on Tuesday.

Investors also continue to try to chart the course of monetary policy, after Federal Reserve Chairman Jerome Powell reiterated on Friday that the central bank could hike interest rates further, if inflation does not return to target.

While Powell said the Fed could be flexible, he added it still has further to go to fight inflation. “Although inflation has moved down from its peak — a welcome development — it remains too high,” he said in prepared remarks.

“We are prepared to raise rates further if appropriate, and intend to hold policy at a restrictive level until we are confident that inflation is moving sustainably down toward our objective.”

As global stock markets enter the final few days of what has been a rough month, attention will turn toward a fresh batch of economic data. Of particular interest will be the U.S. Labor Department’s release of nonfarm payrolls, which shows the pace of jobs and wage growth and could guide the Fed on how to proceed with its monetary policy.

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