European stocks climb after oil calms as investors watch Fed
European stocks got a boost on Wednesday after oil prices finally calmed down.
The STOXX 600 index climbed 0.4%, and Germany's DAX also picked up some gains.
Investors are now watching the US Federal Reserve, which is expected to raise interest rates soon, something that's top of mind as energy costs remain high thanks to ongoing tensions in Iran.
European banks, defense and housebuilders rally
Banks like Barclays and Standard Chartered helped drive the recovery, with their shares rising over 1%.
Defense company Babcock International also saw a nice jump thanks to strong spending in its sector.
Meanwhile, Barratt Redrow's shares shot up by 5.1% even though it cut its homebuilding target, a sign that market mood is still being shaped by things like oil prices, bond yields, and what central banks do next.