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LONDON, July 22 (Reuters) - European stocks rebounded on Tuesday, boosted by signs of collaboration between pro-Russian rebels in Ukraine and international investigators into the downing of an airliner last week.
The pan-European FTSEurofirst 300 index was up 0.5 percent at 1,362.92 points, erasing losses in the previous session after Ukrainian separatists handed over the black boxes of the plane, following calls from Western governments.
The prospect of heightened tensions between Russia and the West following the plane incident, combined with a civilian bloodshed in an Israeli offensive in the Gaza Strip, have weighed on equities in the past week and traders expected the market to remain jittery.
"There will probably be some relief early doors but with some risk-off remaining," Mike Reuter, a broker at Tradition, said. "There's no resolution to the conflict. Fighting in Donetsk continues and the Gaza conflict is also ongoing."
Actelion, Europe's largest biotech company, was the top riser on the FTSEurofirst 300, rising 4 percent after it hiked its 2014 profit forecast for the second time this year. (Reporting By Francesco Canepa; Editing by Alistair Smout)