European markets moved higher on Wednesday, making a slight recovery from Tuesday’s steep losses. German and French indexes were up almost 1.5%, while in London the FTSE 100 was up 0.6%.
The Italian government raised 11bn euros ($14.4bn; £9.1bn) on the money markets on Wednesday morning. There was plenty of demand for the government bonds, some of which are to be be repaid in a year, some in three months. But to borrow for one year the Italian government had to pay interest of 2.84%, up from 1.41% at a similar auction in mid-March.
The Nikkei 225 index shed 0.8%. Elsewhere, Hong Kong’s Hang Seng and Australia’s ASX 200 also dropped 1%.