The pan-European STOXX 600 inched up 0.2%, hovering near 10-week highs. All regional markets posted gains.

UK's FTSE 100 rose 0.1%. Official figures showed British consumer price inflation rose to 10.1% in July, its highest since February 1982, up from an annual rate of 9.4% in June.

The focus was on euro zone flash GDP estimates for the second quarter due at 0900 GMT, and HICP inflation numbers due on Thursday.

Among stocks, Uniper fell 8.8% after the German utility reported a first-half net loss of 12.3 billion euros ($12.5 billion), mainly due to lower Russian gas supplies.

Switzerland's biggest life insurer Swiss Life rose 1.8% after raising its half-yearly net profit by 4%.

(Reporting by Anisha Sircar in Bengaluru; editing by Uttaresh.V)