The pan-European STOXX 600 index finished up 1.2% on broad-based gains, recovering from a more than 2% slide in the previous session, which was also its biggest one-day drop in nearly two months.
Dutch health technology firm Philips rose 1.3pc after it agreed to buy U.S. cardiac diagnostics and monitoring firm BioTelemetry in a deal worth $2.8 billion.
Germany and France said they were set to begin inoculating their citizens with the Pfizer-BioNtech vaccine in the last week of December, once it is approved by the European Medicines Agency.
The pan-European STOXX 600 index rose 0.5%, with eyes on flash PMIs for December due in the morning session. Expectations are for a slight improvement in business activity over the previous month.
The pan-European STOXX 600 index was flat, while London's FTSE 100 rose 0.4% and was set for its eight straight session of gains, as the pound resumed its slide.
After adding about 14pc over the last five weeks, the pan-European STOXX 600 index fell 0.7pc with banks leading losses as euro zone bonds yields fell.
Markets were keeping an eye on talks between Britain and the European Union on a trade deal, with less than a month to go before the UK's full departure from the EU.
The pan-European STOXX 600 index inched lower by 0.1pc at 0925 GMT as gains in the utility and telecom sector were outweighed by losses in automobile stocks.
The pan-European STOXX 600 index was up 0.7pc at 0915 GMT, supported by strong gains in the travel sector and oil & gas stocks after crude prices hit their highest levels since late March.