Stock indices closed higher as oil prices rose on concerns over oil supply from Libya and Brazil. Oil workers on Sunday began a strike at state-owned oil producer Petroleo Brasileiro. According to the International Energy Agency (IEA), Brazil produced 2.55 million barrels a day of crude oil and condensate in August.

Libya's oil company National Oil Corp. declared force majeure and suspended deliveries from the port of Zueitina.

Volkswagen's shares dropped as the U.S. Environmental Protection Agency said on Monday that 3.0-liter V6 diesel engines also had installed software aimed at manipulating U.S. pollution tests. Volkswagen answered that no software has been installed in such engines.

Markit's and the Chartered Institute of Purchasing & Supply's construction purchasing managers' index (PMI) for the U.K. fell to 58.8 in October from 59.9 in September, in line with expectations.

A reading above 50 indicates expansion in the construction sector.

The index was mainly driven by a strong rise in commercial building work.

"Rather than acting as a drag on the economy, as suggested by recent GDP estimates, the sector is continuing to act as an important driving force behind the ongoing UK economic upturn," Senior Economist at Markit, Tim Moore, said.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,383.61 +21.81 +0.34 %

DAX 10,951.15 +0.48 0.00%

CAC 40 4,936.18 +19.97 +0.41 %