Euro zone Feb producer prices expected to contract
Credit Suisse AGM due later in the day
L39;Oreal gains on Aesop deal
Bayer rises as U.S. judge dismisses lawsuit against co

April 4 Reuters European shares rose on Tuesday as investors rebuffed concerns over surprise output cuts by the OPEC and its allies, while awaiting euro zone producer prices for more clues on the European Central Bank39;s ECB monetary tightening path.

The panEuropean STOXX 600 index edged 0.2 higher after a subdued trading session on Monday as a jump in oil prices stoked fears of stubborn inflation.

Real estate and retail shares led the gains for the broader markets while oil and gas stocks continued its upswing, with the index adding 0.2 after clocking its biggest oneday gain since November on Monday.

Tech shares, however, dipped 0.1 as bond yields rose following fears of inflation emanating from OPEC slashing oil output by further 1.16 million barrels per day bpd.

The surprise production cut from OPEC continues to stoke concerns around inflation, with brent crude trading over 85 a barrel, Sophie LundYates, lead equity analyst at Hargreaves Lansdown, said in a note.

There are some outside concerns this could encroach on the 100 mark once more, which would have legitimate ramifications for monetary policy and has already led to a reduction in short positions in oil.

Oil prices rose for a second consecutive day after the surprise cut by OPEC, with Brent and U.S. WTI crude rising more than…