European stocks close: stocks closed higher as oil prices increased

Stock indices closed higher as oil prices rose. Oil prices increased on the IEA report and the Baker Hughes data.

Meanwhile, the economic data from the Eurozone was mostly weaker-than-expected. Markit Economics released its preliminary manufacturing purchasing managers' index (PMI) for the Eurozone on Monday. Eurozone's preliminary manufacturing PMI declined to 51.0 in February from 52.3 in January. Analysts had expected the index to fall to 52.0.

The decline was driven by a softer growth in new orders and exports.

Eurozone's preliminary services PMI fell to 53.0 in February from 53.6 in January. Analysts had expected the index to decrease to 53.4.

"Disappointing PMI survey data for February greatly increase the odds of more aggressive stimulus from the ECB in March. Not only did the survey indicate the weakest pace of economic growth for just over a year, but deflationary forces intensified", Markit's Chief Economist Chris Williamson said.

He noted that data was signalling the Eurozone's economy could expand 0.3% in the first quarter.

Germany's preliminary manufacturing PMI fell to 50.2 in February from 52.3 in January, missing forecasts of a decline to 52.0. It was the slowest reading since November 2014.

The fall in the manufacturing PMI was driven by a weaker increase in new export business, a drop in purchasing activity and input prices.

Germany's preliminary services PMI was up to 55.1 in February from 55.0 in January. Analysts had expected index to decrease to 54.7.

The decline of the services PMI was driven by a faster growth in new business.

France's preliminary manufacturing PMI rose to 50.3 in February from 50.0 in January, beating forecasts of a decline to 49.9.

France's preliminary services PMI fell to 49.8 in February from 50.6 in January. Analysts had expected the index to remain unchanged at 50.3.

Britain's Prime Minister David Cameron said on Saturday that the country's referendum on the European Union (EU) membership will take place on June 23. Cameron secured a deal with the EU, which includes changes to migrant welfare payments, safeguards that Britain would not be a part of the Eurozone and safeguards for Britain's financial sector.

Some ministers support Brexit.

The Confederation of British Industry (CBI) released its industrial order books balance on Monday. The CBI industrial order books balance slid to -17 in February from-15 in January.

Export orders improved slightly in February.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,037.73 +87.50 +1.47 %

DAX 9,573.59 +185.54 +1.98 %

CAC 40 4,298.7 +75.66 +1.79 %