European stock benchmarks closed higher for a third straight session on Wednesday, helped by a reversal in oil prices.

U.S. stocks closed higher Wednesday, but off session highs, as a turnaround by oil futures and upbeat housing data provided support. Crude-oil futures turned higher after the data from the U.S. Energy Information Administration showed a fall in weekly domestic output for a sixth straight week.

China shares were choppy Thursday in a tug-of-war between rising spirits over fresh liquidity and disappointment over a signal that authorities could pull back from monetary stimulus. The People's Bank of China injected a net 220 billion yuan into the financial system Thursday by buying seven-day short-term loans known as reverse repurchase agreements.

Based on MarketWatch materials