Global Stocks

European stocks closed higher on Monday, led by a mining-sector rally as metals continued to gain in the wake of last week's dismal U.S. jobs report.

Analysts said investors appeared to focus on U.S. monetary policy staying accommodative after the weaker-than-expected jobs data.

Asian stocks hit a five-week high on Tuesday after U.S. Federal Reserve Chair Janet Yellen gave a largely upbeat assessment on the U.S. economic outlook, while the dollar declined on diminishing expectations of interest rate increases in coming months.

"Yellen's comments yesterday downplayed the impact of the jobs data last week and gave a cautious sense of optimism on the outlook for the U.S. economy," said Fan Cheuk Wan, head of investment strategy, Asia at HSBC Private Bank.

"Her comments point towards the world remaining stuck in a low-growth and low-yield environment which should be positive for risky assets and keep the dollar soft," she said.

The Fed chief said last month's jobs report was "disappointing" but warned against attaching too much significance to the payrolls data in isolation.

World markets cheered her comments with U.S. stocks closing a shade below a recent record.