LONDON, Dec 5 (Reuters) - European shares edged higher on Wednesday, helped by positive comments from China on the outlook for growth there, although jitters over U.S. budget talks and a disappointing Spanish bond sale dented sentiment.
The FTSEurofirst 300 provisionally closed up 0.1 percent at 1,122.71, having hit a peak of 1,126.26 in early trade after Chinese Communist Party chief Xi Jinping said overnight that the country would ensure stable economic growth.
Demand from Spain's latest bond sale was lacklustre, however, and when fresh evidence of political stalemate in the U.S. "fiscal cliff" talks emerged, the market trimmed gains.
"There's no agreement. That is going to filter through, (to) cause negative sentiment and a bit of selling," Angus Campbell, head of market analysis at Capital Spreads, said of the fiscal cliff deadlock.