In European Equity Markets the pan-European Stoxx 600 closed 0.46 percent higher, with most sectors and major bourses in positive territory. Italy’s FTSE MIB was the top-performing index in Europe, up 1.7 percent, after Italy and the EU announced they had struck a new budget deal. France’s Natixis fell toward the bottom of the benchmark during deals. The lender said late Tuesday it had booked 260 million euros ($296 million) of losses on poorly performing Asian derivatives. The announcement prompted shares to fall 6.7 percent on Wednesday.

In Currency Markets the euro notched up its biggest daily rise against the pound in more than a week on Wednesday as diminishing political worries in Italy and strong trade data contrasted with growing concerns about Britain’s plans to avoid a “no-deal” Brexit. The single currency rallied more than a third of a percent to 90.18 pence against struggling sterling, reaching its highest level in a week. Against the dollar, the pound was broadly flat at $1.2637, giving up most of its earlier modest gains on broadly tepid inflation data.

In Commodities Markets oil stabilized on Wednesday after one of its biggest falls in years, but remained under pressure from oversupply and concern that a slowing global economy would depress demand. Benchmark Brent crude oil was up 75 cents at $57.01 a barrel, after dropping 5.6 percent on Tuesday and at one point hitting a 14-month low. U.S. light crude was 76 cents higher at $47.00, after plunging 7.3 percent in the previous session when it touched its lowest since August 2017.

In US Equity Markets stocks climbed on Wednesday, boosted by technology stocks, and financials also gained ahead of a highly awaited Federal Reserve announcement where investors will watch for signals of fewer rate hikes, which could spark a year-end rally. The S&P 500 rose 0.74 percent, at 2,564.92 and the Nasdaq Composite gained 0.99 percent, at 6,851.17. General Electric Co gained 5.5 percent after Bloomberg reported that the company has moved ahead with the planned IPO of its healthcare unit.

In Bond Markets Italy’s two-year bond yield hit its lowest in almost seven months on Wednesday, following news that Italy had reached a deal over its 2019 budget with the European Commission. Italy’s two-year bond yield briefly slid 14 basis points to 0.395 percent, its lowest level since late May. Belgium’s bonds under-performed after its Prime Minister Charles Michael resigned after a no-confidence motion, with the 10-year yield rising 3 bps to 0.77 percent.