European shares rise as retreating bond yields and oil prices boost risk appetite

European shares rose on Tuesday, ​buoyed by broad gains across sectors as euro zone bond yields eased after a recent ‌rally driven by fiscal and inflation concerns.

The pan-European STOXX 600  index closed 0.5% higher, paring some gains from earlier in the day, and rising for a third consecutive session.

Most sectors ended higher, with travel and leisure stocks  up 1.4%, leading gains. Oil prices ​fell 2% on Tuesday, as increased Middle Eastern crude exports eased supply concerns. 

Danish biotech firm  climbed 4.4% ​to a three-year high after Genmab and US drugmaker AbbVie's  combination treatment for patients ⁠newly diagnosed with a type of lymphoma reduced the risk of disease progression or death in a late-stage ​study.

The broader healthcare index  rose 0.6%, with gains limited by a 5.5% fall in Zealand Pharma .

Euro zone bond yields eased, ​having touched multi-decade highs last week. The spread between French and German 10-year yields narrowed further from its peak of last Friday as investors assessed whether the recent surge in France's risk premium had gone too far, too quickly.