This was CNBC's live blog covering European markets.

European stocks are closing the first session of the new trading week on a positive note, although investors will be looking to see if global market volatility continues amid continued trade uncertainty.

The pan-European Stoxx 600 index closed 0.79% higher, with all sectors bar chemicals in the green.

British defense firm QinetiQ shed nearly 21%, tumbling to the bottom of the Stoxx 600, after the company made a downward revision to its revenue outlook for the year.

European markets ended the week higher Friday after German lawmakers reportedly came closer to agreeing on reforming the country's so-called debt brake rule. Media reports said Germany's likely next chancellor Friedrich Merz had won support from the Greens party to hike public borrowing to allow an increase in defense spending.

The motion, which requires a change to the German Constitution, needs backing from two-thirds of the lawmakers elected to the country's parliament. The Bundestag is expected to vote on the debt reform on Tuesday.

Investors will be keeping a close eye on U.S. markets this week after the Dow posted its worst week going back to 2023 last week, with investors grappling with President Donald Trump's fast-changing tariff policies, on top of growing signs of economic weakness.

The uncertainty has many wondering whether the stock market correction could turn into a bear market. However, U.S. stocks were slightly higher Monday.

Asia-Pacific markets mostly climbed overnight, with investors keeping a close watch on Chinese equities after the Chinese government announced a "Special Action Plan to Boost Consumption" to revive consumption by boosting incomes.

Other measures announced on Sunday included plans to stabilize the stock and real estate market and raising the country's birth rate.

Europe stocks close higher

European markets closed higher Monday, with the regional Stoxx 600 index provisionally gaining 0.78% as it comes off the worst week of the year to date.

Germany's DAX, the U.K.'s FTSE 100 and France's CAC 40 were all around 0.6% higher.

— Jenni Reid

Bonds provide certainty in an uncertain world, strategist says

George Bory, chief investment strategist for fixed income at Allspring Global Investments, discusses investing in bonds.

EU mulling duties on European scrap steel exports: Reuters

The European Commission is considering proposing levies on scrap steel and metals exports, Reuters reported Monday, citing a draft plan.

CNBC has contacted the European Commission for comment.

The institution earlier this month launched a strategic dialogue on steel, seeking to support an industry which has been hit hard by higher energy costs, challenging raw materials access and — as of last week — U.S. import tariffs of 25%.

The EU will also investigate possible safeguard measures to counter the U.S. duties, which also target aluminum, Reuters reported.

— Jenni Reid

U.S. stocks slightly higher

The S&P 500 rose on Monday as the benchmark tries to continue its comeback from correction territory following a four-week rout on Wall Street exacerbated by President Donald Trump's chaotic tariff policy rollout and falling consumer confidence.

The broad market index gained 0.4%, while the Nasdaq Composite rose 0.2%. The Dow Jones Industrial Average advanced 163 points, or 0.4%

Read more here.

— Sean Conlon

European currencies rise

Europe's major currencies rose against the dollar on Monday, as jitters around the state of the American economy and U.S. President Donald Trump's tariffs regime persisted.

The euro gained around 0.26% against the greenback by 10:47 a.m. in London, while the British pound was up by roughly 0.29% against the U.S. currency. The Swiss franc, widely seen as a safe haven in times of economic or geopolitical uncertainty, added 0.3% against the dollar.

— Chloe Taylor

European bond yields fall

Yields on regional government bonds ticked lower on Monday morning, as investors awaited a key German vote on fiscal policy reform and continued to monitor developments in U.S.-EU trade relations.

The yield on Germany's 10-year government bonds — widely seen as a benchmark for the euro zone — was 5 basis points lower at 10:39 a.m. in London.

Yields on 10-year bonds in Italy and France were down by 6 basis points, while Swiss 10-year bond yields were 7 basis points lower.

— Chloe Taylor

OECD cuts U.S. and global economic outlooks

Both U.S. and global economic growth is set to be lower than previously projected, according to the latest estimates from the Organisation for Economic Co-operation and Development.

"Global GDP growth is projected to moderate from 3.2% in 2024, to 3.1% in 2025 and 3.0% in 2026, with higher trade barriers in several G20 economies and increased geopolitical and policy uncertainty weighing on investment and household spending," the OECD said Monday.

Read the full story here.

— Sophie Kiderlin

Qinetiq shares plummet after trading update

Shares of U.K. defense firm Qinetiq tumbled to the bottom of the Stoxx 600 on Monday morning, shedding 18.4% by 8:46 a.m. London time.

That came after the company downwardly revised its revenue outlook for the year ending March 31, saying it now expects organic revenue growth for the year to come in at around 2%. The company had previously forecast high single digit organic revenue growth for the year.

Qinetiq cited "tough near-term trading conditions" and geopolitical uncertainty as factors weighing on its operations.

The company also said Monday it expects a £140 million ($181 million) impairment charge at the end of the year in light of operational performance in the United States, as well as a "number of one-off exceptional, largely non-cash charges" that would total between £35 million and £40 million.

— Chloe Taylor

AstraZeneca to purchase EsoBiotec for up to $1 billion

British drugmaker AstraZeneca said Monday that it would purchase biotechnology firm EsoBiotec for up to $1 billion to advance its cell therapy ambitions.

EsoBiotec Engineered NanoBody Lentiviral platform helps attack cancer inside the body, offering patients potential "transformative cell therapy treatments" in just minutes, unlike the current process, which takes weeks, AstraZeneca said.

Under the deal, AstraZeneca buys all outstanding equity of EsoBiotec on a cash and debt-free basis, including an initial payment of $425 million on closing the deal and up to $575 million contingent on development milestones.

"EsoBiotec will accelerate and expand the impact of our recent investments and marks a major step forward in realizing our ambition to harness the full potential of cell therapy," Susan Galbraith, executive vice president of oncology haematology research and development at AstraZeneca, said in a statement.

AstraZeneca shares were up 0.6% after the announcement.

— Karen Gilchrist

Trump reportedly says no exemptions on steel and aluminum tariffs

U.S. President Donald Trump said he has no intention of applying exemptions on steel and aluminum tariffs, according to Reuters.

As such, reciprocal and sectoral tariffs will be imposed on April 2 alongside automotive duties, the report added, citing Trump's comments to reporters on Air Force One.

This follows the 25% tariffs on steel and aluminum imports by the White House, which came into effect last Wednesday.

Countermeasures swiftly came through from the U.S.' trading partners. For instance, the European Union said it would impose tariffs on 26 billion euros, or $28.33 billion, worth of U.S. goods from April.

— Amala Balakrishner

CNBC Pro: A big markets week lies ahead

Wall Street is headed for a big week ahead, with investors desperate for any clarity on the macroeconomic picture that could put a bottom in for equity prices.

This week, the Federal Reserve is set to hold its latest policy meeting, while economic data will be scrutinized by investors lasering in on any signs of the consumer pulling back. Elsewhere, Nvidia CEO Jensen Huang will be in focus as he takes the stage at the GTC developers conference to speak on the future of artificial intelligence.

CNBC Pro subscribers can read the full story here.

— Sarah Min

European markets: Here are the opening calls

European markets are expected to start the new trading week in positive territory.

The U.K.'s FTSE 100 index is expected to open 21 points higher at 8,653, Germany's DAX up 90 points at 23,019, France's CAC 9 points higher at 8,034 and Italy's FTSE MIB 182 points higher at 38,819, according to data from IG. 

There are no major earnings releases on Monday; on the data front, however, Italy will publish its latest inflation print.

— Holly Ellyatt