2017.09.2521:01:00UTC+00European Markets Ended Marginally Higher after German Elections

European stocks finished higher on Monday as investors priced in Germany's election results, where the nationalist Alternative for Germany (AfD) won parliamentary seats for the first time.

The pan-European STOXX 600 and euro zone blue chips rose 0.1 percent, a more moderate response than the currency market where the euro took a hit.

European bourses were mixed, with France's CAC 40 dropping 0.1 percent, Germany's DAX climbed 0.3 percent while Milan's FTMIB was little changed.

Financials were the worst performers on European stocks while healthcare, energy and industrials helped counterbalance those declines.

Italy's Banco BPM saw its shares fall over two percent, while Spanish lender Caixabank dropped 3.79 percent.

Outcome of the German vote dominated market sentiment. Some traders claim they were worried the vote could lead to a new coalition government less adamant on pushing euro zone integration.

French train maker Alstom climbed 1.5 percent to its highest level since March 2013 after confirming it was in negotiations with German engineering group Siemens on a potential tie-up.

Swedish construction company NCC was the worst performer on the STOXX, tumbling over eight percent after its said it sees third-quarter operating profit to be well below market forecasts. The company said profits were hit significantly by an infrastructure project write-down in Norway.

Switzerland's ABB climbed 0.6 percent on its announcement that it was purchasing General Electric's Industrial solutions unit in a deal valued at $2.6 billion. Shares of the automation firm have gained nearly 12 percent so far in 2017, in line with the broader European industrials index.