ROME - European stocks surged Monday as investors breathed a sigh of relief after China and the United States announced a series of tariff modification measures aimed at easing trade tensions between the world's two largest economies.

The decision followed a two-day China-US high-level meeting on economic and trade affairs, where both sides recognized the importance of their bilateral economic and trade relationship to both countries and the global economy, a joint statement said.

The Stoxx 600 Index of European blue chips gained 1.2 percent in heavy trading Monday, pulling the index even with its level on March 27, days before the United States announced it would begin levying new tariffs on imports from around the world.

The surge in stock values on Monday was widespread. In Germany, Europe's largest economy, the Frankfurt Stock Exchange was up 0.3 percent on the day.

The blue-chip index on France's Paris Stock Exchange finished the day 1.4 percent higher amid high volatility. In Italy, the Italian Stock Exchange's blue-chip index was also 1.4 percent higher, while shares in Amsterdam and Madrid also gained ground Monday.

Germany and Italy are Europe's top two exporters.

In Britain, which is not part of the European Union, the London Stock Exchange's main index gained 0.6 percent on Monday.

The euro currency, meanwhile, weakened against the US dollar in trading Monday, a reverse of the recent trend that has seen the euro strengthen.