Europe open: Stocks edge higher as investors digest earnings

European stocks edged higher in early trade on Tuesday amid some well-received corporate news, as investors looked to the start of the Federal Reserve's two-day policy meeting.

At 0850 BST, the benchmark Stoxx Europe 600 index was up 0.3%, Germany's DAX was 0.2% higher and France's CAC 40 was up 0.5%.

Meanwhile, oil prices continued to gain after Monday's meeting of Opec and non-Opec members in Russia resulted in Saudi Arabia and Russia promising harsher penalties for non-compliance, with the former pledging to lower exports.

West Texas Intermediate was up 0.6% to $46.61 a barrel and Brent crude was 0.5% higher at $48.45.

Accendo Markets analyst Mike van Dulken said: "Tomorrow’s Fed update is unlikely to deliver anything meaningful in terms of policy change (hence weak USD). It may provide some clarity on the outlook for further rate hikes in light of recent poor inflation data, and investors are eager to know more about the timing of its balance sheet unwind, however, Yellen may again only offer crumbs with which we can ponder for the rest of the summer."

On the corporate front, London-listed Segro and Informa both racked up healthy gains after upbeat first-half updates.

Elsewhere, Randstad advanced after posting a 9% jump in second-quarter core profit, while Daimler ticked up after announcing that it will invest in a Chinese self-driving start-up.

Telecom Italia nudged higher as it announced the resignation of its chief executive Flavio Cattaneo, while iPhone supplier AMS was stronger after it lifted its mid-term revenue target and Logitech rose after raising its profit outlook for the year.

In deal news, luxury accessories brand Jimmy Choo surged after agreeing to be bought by Michael Kors for £896m.

It wasn't all good news, however, with Croda International, Lindt & Spruengli and UPM all in the red after updates. Dulux owner Akzo Nobel was also weaker after its second-quarter earnings fell short of expectations.