European markets open higher as investors eye borrowing costs

European stock markets opened higher on Tuesday, with investors closely watching borrowing costs for a number of major European economies this week as bond yields continue to rise.

The pan-European STOXX 600 index rose 0.5% shortly after the opening bell, with most sectors in positive territory. Auto, chemical and technology stocks led the gains.

Germany’s DAX index rose 0.61%, France’s CAC 40 gained 0.98% and the UK’s FTSE 100 gained 0.02%.

Major European markets fell on Monday amid concerns over rising government bond yields and a stronger US dollar, with the pan-European STOXX 600 index losing most of its sectors.