LONDON - Britain's top share index closed 0.9 percent higher, led by gains in banks and miners which recovered from losses in the previous session, while data showed inflation held steady in July.

The FTSE 100 index closed 40.77 points higher at 4,685.78, recovering from a 1.4 percent drop on Monday, its biggest one-day percentage loss since July 2.

@MARKET ROUNDUP:EUROFIRST

EUROPE - European equities ended higher after hitting a two-week low in the previous session, with stronger crude oil prices supporting energy shares and Swedbank leading the banking sector higher.

The FTSEurofirst 300 index of top European shares moved back up to provisionally close 1.1 percent higher at 931.86 points.

@MARKET ROUNDUP:EUROmarkets

FRANKFURT - The DAX index ended at 5,250.74 points, up 49.13 or 0.94 percent.

PARIS - The CAC-40 index closed at 3,450.69 points, up 31 or 0.91 percent.

ZURICH - The Swiss market index closed at 5,953.75 points, up 70.05 or 1.19 percent.

MILAN - The FT IT All Share index closed at 21,719.32 points, up 285.98 or 1.33 percent.

@MARKET ROUNDUP:nikkei

TOKYO - Japan's Nikkei share average inched up 0.2 percent, as Shanghai shares gained some respite after their slide the previous day on fresh worries that a rally in risk assets may have gone too far.

The rose 16.35 points to 10,284.96. It tumbled 3.1 percent on Monday, its biggest one-day percentage fall in nearly five months.

@MARKET ROUNDUP:hang seng

HONG KONG - Hong Kong shares turned positive in afternoon trade, tracking a rise in the Shanghai stock market, as banks including HSBC recovered from recent losses.

The Hang Seng Index rose 0.84 percent, finishing 168.62 points higher at 20,306.27, after plummeting to its lowest closing level since end-July on Monday.

@MARKET ROUNDUP:asx

SYDNEY - Australian stocks closed down 0.15 percent, rebounding from the day's lows after better-than-expected earnings outlooks from some companies boosted hopes for an economic recovery.

The S&P/ASX 200 index shed 6.8 points to 4,381.6 points. It fell 1.6 percent on Monday.

@MARKET ROUNDUP:south africa

JOHANNESBURG - South African stocks snapped a two-day losing streak, boosted by higher metals prices, and the rand firmed on better global sentiment and a smaller contraction than before in the local economy.

The All-share index ended up 0.76 percent to 24,255.88 points.