European stock markets were higher in morning trade on Wednesday with investor sentiment buoyed by higher oil prices and a rally in the banking sector.
The pan-European Euro Stoxx 600 index was higher with all sectors and major bourses in positive territory. Deutsche Bank shares rose 3 percent, bouncing back after several sessions of heavy selling. This comes after it was asked to pay a settlement by the U.S. Department of Justice and speculation that it was seeking help from the German government. The was also news that the German lender had sold its British insurance business Abbey Life.
“Deutsche Bank. It’s all about Deutsche Bank – at least that’s how it feels. And… maybe it’s time to be a cheeky buyer?,” Bill Blain, senior fixed income broker at Mint Partners, said in a morning note.
Oil markets were also in focus as major oil producers meet on the sidelines of the International Energy Forum in Algeria. Crude futures fell about 3 percent on Tuesday after Iran rejected an offer from Saudi Arabia to limit its oil output in exchange for Riyadh cutting supply, dashing market hopes for a compromise. However, on Wednesday, oil prices rose, as industry data showed a surprise draw in U.S. crude stocks.
Source: CNBC
