European and US stock markets gained ground Tuesday, as investors brushed aside losses in Asia and weighed the strong economic recovery against rising virus cases.

The S&P 500 and Nasdaq each finished at fresh records, narrowly rising after US consumer confidence data surged in June to its highest point since the pandemic began.

European equities also climbed, with Frankfurt's DAX up nearly one percent and Paris and London edging higher.

German inflation data showed that the rise in consumer prices had eased a bit in June, to a yearly rate of 2.3 percent, but economists forecast it could pick up again to between three and four percent this year.

"European stocks are pushing higher on Tuesday, following on from record highs reached on Wall Street, but (there was) a more subdued session in Asia as Covid cases rise," Oanda market analyst Sophie Griffiths said.

In Australia, the cities of Sydney, Perth, Brisbane and Darwin all have been put into lockdown, with leaders in the country also struggling to get its inoculation program up to speed.

The disease has led to similar measures in South Africa, while Russia, parts of Asia, Europe and South America also have witnessed worrying spikes.

The developments have raised concerns that the forecast global recovery could be knocked off course or at least slowed.

On a more optimistic front, the improved outlook on jobs and business conditions has boosted US consumer sentiment.

"Low virus transmission, vaccinations, and expanded reopenings made consumers much more confident," Oren Klachkin of Oxford Economics said in an analysis. "Consumers are coming out of their shell."

Markets are looking forward to more key US data later in the week, culminating with Friday's jobs report for June.

New York - Dow: UP less than 0.1 percent at 34,292.29 (close)

New York - S&P 500: UP less than 0.1 percent at 4,291.80 (close)

Sydney has been put into lockdown along with three other Australian cities as authorities try to contain a fresh outbreak of coronavirus in the country
Sydney has been put into lockdown along with three other Australian cities as authorities try to contain a fresh outbreak of coronavirus in the country AFP / Saeed KHAN

New York - Nasdaq: UP 0.2 percent at 14,528.33 (close)

London - FTSE 100: UP 0.2 percent at 7,087.55 (close)

Frankfurt - DAX 30: UP 0.9 percent at 15,690.59 (close)

Paris - CAC 40: UP 0.1 percent at 6,567.43 (close)

EURO STOXX 50: UP 0.4 percent at 4,107.51 (close)

Tokyo - Nikkei 225: DOWN 0.8 percent at 28,812.61 (close)

Hong Kong - Hang Seng Index: DOWN 0.9 percent at 28,994.10 (close)

Shanghai - Composite: DOWN 0.9 percent at 3,573.18 (close)

Euro/dollar: DOWN at $1.1903 from $1.1925 at 2100 GMT

Pound/dollar: DOWN at $1.3849 from $1.3883

Euro/pound: UP at 85.92 pence from 85.91 pence

Dollar/yen: DOWN at 110.53 yen from 110.63 yen

Brent North Sea crude: UP 0.1 percent at $74.76 per barrel

West Texas Intermediate: UP 0.1 percent at $72.98 per barrel

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