European shares edge higher, head for best week in 8 months

Last Updated: Fri, Dec 20, 2013 09:01 hrs

European shares edged up to a two-week peak on Friday, still riding the positive momentum of a Federal Reserve decision on Wednesday that underlined growing optimism over the U.S. economy while promising to keep interest rates low for longer.

Traders, however, said the market may be vulnerable to profit taking in the last trading days of the year after gains of about 3 percent for the pan-European FTSEurofirst 300 this week. That put the index on track for its best weekly gain in eight months and it is now up by more than 13 percent this year.

At 0807 GMT, the euro zone's blue-chip Euro STOXX 50 was up 0.2 percent at 3,037.00 points.

Germany's DAX share index rose 0.4 percent, outperforming the wider market after data showed German consumer morale hit its highest level in nearly 6-1/2 years heading into January as shoppers became more willing to splash their cash.

The FTSEurofirst 300 was up 0.1 percent at 1,282.47 points after setting a new two-week high and rising 1.8 percent on Thursday, its biggest one-day gain since September, after the Fed announced to phase out its stimulus more gently than many had expected.

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