European Markets Rise Ahead Of Pivotal EU Summit

European markets rose Wednesday following global cues but investors remained watchful about the debt crisis lingering over the euro zone.

The German DAX 30 index rose 0.35 percent or, 21.20 points to 6157.83. Shares of Deutsche Bank AG rose 1.29 percent and shares of Commerzbank AG advanced 0.97 percent.

The French CAC 40 index rose 0.42 percent or, 12.68 points to 3025.39. Shares of Technip SA rose 1.03 percent and shares of Publicis Groupe SA fell 2.27 percent.

London’s FTSE 100 index rose 0.46 percent or, 25.02 points to 5471.98. Shares of Barclays PLC rose 1.20 percent and shares of Xstrata PLC declined 1.09 percent.

Spain's IBEX 35 rose 0.12 percent or, 7.80 points to 6536.20. Shares of Bankia SA rose 1.60 percent and shares of Acciona SA advanced 1.21 percent.

Investors are focusing on the European summit to be held on June 28-29 in Brussels with markets anticipating the EU to lay out a clear road map for political, fiscal and banking union. Various issues ranging from debt mutualization to fiscal and banking union, as well as a potential renegotiation of Greece’s bailout terms, will be discussed in the summit.

On the topic of banking union, policymakers are expected to consider centralized banking supervision and joint deposit guarantees to reduce uncertainty and the risk of bank runs. Also expected on the agenda is the question of whether to allow the euro zone’s bailout funds to recapitalize banks directly.

Investors will also be looking out for the results of a meeting Wednesday in Paris between German Chancellor Angela Merkel and French President François Hollande. The main agenda of the meeting was to be the present sovereign debt crisis situation.