London — Stock markets edged higher on Tuesday as reassuring data about the health of China’s economy helped investors shrug off disappointing bank earnings in the US, while volatility in European markets took another leg lower. European shares followed their Asian counterparts and opened marginally higher, leaving the Euro STOXX 600 within a whisker of eight-month highs. Germany’s DAX 30 gained 0.5%, while Britain’s FTSE 100 also strengthened. The recent rally comes as a degree of calm has descended across financial markets, with European stock volatility falling to its lowest since January 2018, exacerbated by a shortened trading week for the Easter holidays. Natixis cross asset strategist Florent Pochon said investors were mainly focused on US earnings, especially after the first flurry of bank results made for mixed reading. “After the strong rally we have seen in equities, people are now waiting for the next catalyst,” Pochan said. “We do expect some more positive data from Eur...

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