European stocks edged higher Tuesday, buoyed by a rebound in precious metals prices and a positive close on Wall Street. The German DAX, French CAC 40, and UK's FTSE 100 all saw gains. Investors are reacting to a calmer global market, especially after the recent volatility in metals. The focus now shifts to the ongoing earnings season.

Publicis is in the spotlight after exceeding revenue expectations, with strong client wins in the fourth quarter. The French advertising giant reported a €2.03 billion free cash flow and proposed a dividend increase. Meanwhile, French asset manager Amundi announced a rise in adjusted pretax income, driven by record net inflows. Dutch paints maker AkzoNobel also reported earnings.

French consumer prices remained contained, further supporting market confidence. The European Central Bank is expected to hold steady on interest rates. Oil prices slipped for a second day as tensions between the United States and Iran eased. Investors will be watching the ongoing earnings announcements from major European companies and developments in the energy sector.

Looking ahead, investors are assessing the impact of earnings reports and global economic indicators. The market is also keeping an eye on the outcome of the US-Iran nuclear talks. The strength of the euro and its potential impact on inflation will also be a key factor for the ECB.