This was CNBC's live blog covering European markets.

European markets closed slightly higher Tuesday, as global investors looked to the start of the U.S. Federal Reserve's two-day policy meeting.

After a muted session, the pan-European Stoxx 600 provisionally finished up 0.26%, with sectors mixed. Autos stocks rose 1.2%, while food and beverage stocks were down 0.5%.

U.S. stocks opened mixed ahead of the Fed's meeting in Washington. Recent inflation reports could prompt the Fed to signal that interest rates will remain higher for longer than expected. Fed funds futures currently forecast a 99% likelihood that the Fed will leave benchmark interest rates unchanged this week, according to the CME FedWatch Tool.

Meanwhile, it was a dramatic day for Asia-Pacific markets as investors assessed the latest central bank monetary policy decisions from the Bank of Japan and the Reserve Bank of Australia.

The BOJ officially ended its negative interest rate policy at its March meeting, hiking interest rates for the first time in 17 years and raising its benchmark interest rate from -0.1% to a range of 0% to 0.1%. The bank also abolished its yield curve control policy, marking a historic shift in policy. Asia-Pacific markets largely fell Tuesday following the move.

Europe stocks close higher

European stocks nudged higher Tuesday, with the Stoxx 600 index finishing up 0.26%.

France's CAC 40 index gained 0.65% while Germany's DAX and the U.K.'s FTSE 100 rose by 0.3% and 0.2%, respectively.

— Jenni Reid

U.S. stocks open mixed ahead of Fed decision

U.S. stocks opened mixed Tuesday as Wall Street looked ahead to the Federal Reserve's two-day policy meeting.

The S&P 500 fell 0.3% and the  Nasdaq Composite lost 0.8%, while the Dow Jones Industrial Average added 0.1%.

— Karen Gilchrist

Stocks on the move: Unilever up 2.9%, Siemens down 5.2%,

Shares of consumer goods giant Unilever popped on Tuesday after the company announced plans to separate its ice cream unit, which includes Ben & Jerry's and Magnum, as part of a restructuring that will affect 7,500 jobs.

Shares of Unilever were up 5.6% moments after the news, before paring gains slightly to trade up 2.9% in afternoon deals.

On the other end, Reckitt Benckiser fell 3.9%, paring gains from the previous session following a damaging U.S. lawsuit over its Enfamil baby formula.

— Karen Gilchrist

Atos shares plunge 18% after Airbus ends talks over potential cybersecurity unit acquisition

Atos shares plunged more than 18% and were halted from trading on Tuesday morning after the French IT company announced that Airbus had ended talks to buy its cybersecurity business.

As a result, Atos is rescheduling its 2023 earnings release in order to "evaluate strategic options," the company said in a market update.

"Atos is analysing the resulting situation and actively evaluating strategic alternatives that will take into consideration the sovereign imperatives of the French state," it said.

- Elliot Smith

CNBC Pro: Worried about lofty valuations? Berenberg names 5 'top pick' stocks in a 'cheap' sector

As concerns swirl about lofty stock market valuations and investors focus on AI companies, strategists at Berenberg see one sector as a relative bargain.

The investment bank pointed out that investors in that one sector outperformed the market by an average of 108% – or more than doubled their money – when they invested on three occasions in the past when valuations were similarly depressed as the current levels.

CNBC Pro subscribers can read more here.

— Ganesh Rao

CNBC Pro: Fund manager says this software stock is set to be a 'serious player' in AI, gives it nearly 50% upside

One stock is a "promising AI investment" and set to be a "serious player" in a corner of the space, according to Brian Stutland of Equity Armor Investments.

"They are really starting to become very creative in the AI world," Stutland, a portfolio manager at the firm, told CNBC's "Street Signs Asia" this week.

CNBC Pro subscribers can read more here.

— Weizhen Tan

European markets: Here are the opening calls

European markets are set to open lower Tuesday.

The U.K.'s FTSE 100 index is expected to open 26 points lower at 7,698, Germany's DAX down 41 points at 17,896, France's CAC 13 points lower at 8,138 and Italy's FTSE MIB down 68 points at 33,347, according to data from IG. 

There are no major earnings releases Monday. Germany's ZEW survey of economic sentiment for March is set to be published.

— Holly Ellyatt