Europe stocks close slightly higher as investors brace for U.S.-China trade updates

Europe’s Stoxx 600 index struggled for direction Tuesday, but ultimately closed 0.08% higher on a provisional basis.

Investors are still on the edge of their seats for any major announcements from the U.S.-China trade talks, although this appears likely to land later. Wall Street remains similarly in waiting mode.

Autos and oil and gas have been the top performers in Europe, with the sectors both up by around 1.8% — potentially on hopes that the talks will break the tariff stalemate between the world’s largest economies, paving the way for more deals.

It’s been a busy day for U.K. markets, with the FTSE 100 closing just shy of the record high set in March — helped by tailwinds behind housebuilders — and borrowing costs tumbling following signs of a cooling labor market and reduced wage pressures, boosting expectations of rate cuts.

Wednesday will bring an assessment of U.S.-China progress as well as earnings from fashion giant Inditex, owner of Zara. CNBC will be interviewing the chief executives of Mistral, UniCredit and Thales — catch our programming from 6 a.m. in London.