European stock markets closed lower across the board Tuesday as investors continued to respond to earnings disappointments and a fixed income market that has continued to push bond yields higher.

Third-quarter earnings across Europe have been mixed to date, although the underperformers have garnered more attention. Economic data, meanwhile, continues to point towards stable U.K. growth and a steady if not spectacular eurozone recovery.

With inflation accelerating, also, expectations for another interest rate cut in the U.K. have been shelved and markets are now turning their attention toward the possibility that the next move might need to be upwards.

Likewise in Europe, both headline and core inflation are beginning to trend higher as the effect of commodity price falls begins to fade, while the European Central Bank has recently exhibited a reluctance to talk up expectations for more easing in the coming months.

The rise in rates and changes of interest rate expectations have hit yield- and inflation-sensitive sectors, such as REITs, utilities and telecoms -- with many of Europe's biggest decliners being drawn from these sectors Tuesday.

London's FTSE 100 was down by 0.6% to 6,917.4 and the FTSE 250 was lower by 0.2% to 17,523.4. Germany's DAX was the top decliner for the session, after falling by more than 1.2% to 10,526.4. France's CAC 40 was 0.9% lower at 4,470.8.

This is while the Europe Stoxx 600, the broadest measure of European stocks, fell by 1.04% to 335.4.

Fixed income markets continued to push yields higher, with the U.K. 10-year government Gilt yield rising to 1.17% as it continues to reverse its post-referendum decline. The French Tresor yield spiked to 0.51% in the afternoon, while the German Bund yield rose by just a fraction to a tad under 0.18%.

In currency markets, the pound slipped against the U.S. dollar to $1.2229 around the time that stock markets closed, after rising by more than 100 points during Monday's session. The euro gained 0.7% on the greenback, rising to $1.1051, a two-week high for the currency.

In individual stocks, the biggest fallers in London were Standard Chartered, BP (BP) - Get Report and Shire (SHPG) - Get Report

Standard Chartered, the emerging markets bank, stock was off by more than 5% after it missed estimates for third-quarter earnings and told investors that it faces action from authorities in Hong Kong over an IPO that it underwrote in 2009.

BP shares were down nearly 5%, despite beating third-quarter estimates for earnings, after management sounded a downbeat tone on the outlook for commodity prices. The oil and gas giant said that it would spend less on capex in the coming years, although it also announced a restructuring that will likely mean it incurs further costs in the near term.

Health care giant Shire announced third-quarter earnings, in which it missed estimates due to poorer-than-expected sales of hemophilia treatments acquired during its takeover of Baxalta. The stock was down by 2.6% at the close.

Real estate stocks Savills (SVLPF) and Intu Properties (CCRGF) were both down for the session, with the former falling by more than 5% and the latter dropping by 2%.

In Germany, Deutsche Bank (DB) - Get Report was down by 2.5% amid general weakness within the European banking sector.

Deutsche Lufthansa (DLAKY) stock was down by around 2% as investors began positioning for third-quarter results, which are due for release on Wednesday. The airline has been hit by strikes in its low-cost carrier division of late.

Real estate firm Vonovia (VONOY) was down by around 1.9% on what was a bloody day for anything property- or rental-related.

In France, Nokia (NOK) - Get Report continued its decline after a calamitous third-quarter update last week, with the shares down by 2.2%. Commercial property firm Unibail Rodamco (UNBLF) also featured among the top fallers on the CAC, with the stock down by nearly 2%.