European stocks wrapped up a holiday-thinned week at record highs on Friday as growing hopes that a Sino-US trade deal would be inked soon, as well as the latest dose of upbeat China data supported prospects of an improving global growth.

The pan-European Stoxx 600 index gained about 0.2 per cent as investors returned from Christmas and Boxing day holiday to comments from Beijing that it was in close contact with Washington about their initial agreement, shortly after US President Donald Trump talked up a formal signing ceremony.

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