Stock closed higher on comments by the Fed Chairwoman Janet Yellen. She said in a speech on Monday that further interest rate hikes were appropriate as the U.S. labour market continued to strengthen and inflation was picking up toward 2% target.

A rise in oil prices also supported the stock markets. Oil prices increased on a weaker U.S. dollar and on a lower output in Nigeria.

Market participants also eyed the economic data from the Eurozone. Eurostat released its revised gross domestic product (GDP) data for the Eurozone on Tuesday. Eurozone's revised GDP rose 0.6% in first quarter, up from the preliminary reading of 0.5%, after a 0.4% gain in the fourth quarter.

On a yearly basis, Eurozone's revised gross domestic product (GDP) increased 1.7% in first quarter, up from the preliminary reading of 1.5%, after a 1.7% rise in the fourth quarter.

Household spending gained 0.6% in the first quarter, while gross fixed capital formation climbed 0.8%.

Exports climbed by 0.4% in the first quarter, while imports rose by 0.7%.

Destatis released its industrial production data for Germany on Tuesday. German industrial production rose 0.8% in April, exceeding expectations for a 0.7% gain, after a 1.1% decline in March. March's figure was revised up from a 1.3% decrease.

German industrial production excluding energy and construction climbed by 1.1% in April.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,284.53 +11.13 +0.18 %

DAX 10,287.68 +166.60 +1.65 %

CAC 40 4,475.86 +52.48 +1.19 %