European shares closed mixed yesterday, mirroring a choppy US session, after a benchmark pan-European index rose to its highest level in over six years on the back of upbeat results and Germany outperformed.

Strong results from the likes of Swiss engineering group ABB, Reckitt Benckiser and France Telecom underpinned the market in a volatile session.

"We are in the middle of results season which is a key driver for markets at the moment. We are being helped by useful performances from other world equity markets, but, by and large, results so far have been very good," said Akber Khan, part of the European Equity Focus team at Deutsche Bank.

"At the same time heady times for M&A continue, and almost every day sees a new deal - rumoured or confirmed. Overall, it's a pretty good time to be in equities right now".

The FTSEurofirst 300 index closed up 0.2 per cent at 1,577.1 points, having earlier hit its highest level in more than six years at 1,585.1.

Germany's 30-share DAX outperformed with a 0.6 per cent rise to 7,387.0, its highest closing level in about seven years. The index, however, ended below an intra-day high of 7,412.5.

It was boosted by gains in DaimlerChrysler and Deutsche Post. Deutsche Post rose on rumours it could sell its Postbank unit, traders said.

Shares of Deutsche Post closed up 4.2 per cent and were the top gainers on the DAX index. Postbank closed 2.5 per cent higher and was the second biggest gainer on the DAX.

Deutsche Post reiterated after the market closed that Postbank was not for sale.

Around Europe, Britain's FTSE 100 was up 0.1 per cent, while France's CAC 40 and Spain's IBEX index both eased 0.1 per cent.

On the earnings side, the news continued to be bright.

First-quarter net profit at Swiss engineering group ABB more than doubled to $537million, beating expectations and boosting its shares nearly 5 per cent.