BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - German stocks eked out modest gains on Wednesday as investors cheered media reports suggesting that Italy's populist government has reached an informal agreement with Brussels over its budget.
Traders also awaited the outcome of a two-day Federal Reserve meeting for clues on the path for future rate hikes.
The benchmark DAX was up 29 points or 0.26 percent at 10,769 in opening deals after closing 0.3 percent lower the previous day.
Volkswagen advanced 1.4 percent. The U.S. Justice Department said that Volkswagen supplier IAV GmbH has agreed to plead guilty and pay a $35 million fine for its role in the German auto giant's emissions-cheating scheme.
Consumer-electronics retailer Ceconomy plunged 15 percent after scrapping dividend and giving downbeat forecast for 2018/19.
In economic releases, Germany's producer price inflation remained at its highest level in 19 months in November, data from the Federal Statistical Office showed.
Producer prices rose 3.3 percent year-on-year in November, same as in October. Economists had expected a 3.1 percent increase. The pace of increase was the fastest since April 2017, when producer prices rose at the same rate.
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