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European equities rise on optimism after Trump's remarks

European equities rise on optimism after Trump remarks

European equities climbed to the highest level in four years in early trading on Wednesday, amid optimism that the United States and China are edging closer to signing phase-one trade deal.

As of 09:01 GMT, the Euro STOXX 600 rose 0.2 percent to 409.42, as the core resources sector led European equities' gains up 0.8 percent in early trading and the majority of sectors remained green.

France CAC 40 was 0.07 percent up at 5,934.38 and Germany’s DAX ascended 0.12 percent to 12,252.56. In Britain, FTSE 100 surged 0.45 percent to 7,436.15.

Investors' appetite for risk increased after U.S president Donald Trump's comments that the United States and China are close to agreeing on the first phase of the trade deal as talks between the world's two largest economies continue.

"I think it's one of the most important trade deals ever," Trump told reporters at the White House on Tuesday. "Things are going well, but at the same time we want to see that they're going well in Hong Kong."

Earlier in the day, Beijing said it had reached consensus on resolving the contentious points in trade with Washington.

However, Trump emphasized Washington's support for protesters in Hong Kong at a point of contention with China away from trade.

In the same context, China announced that it had summoned US Ambassador Terry Branstad on Monday to protest the US Congress's passage of the Human Rights and Democracy Act in Hong Kong, saying the bill was an interference in an internal Chinese matter.

In terms of economic figures, import prices in Germany fell year-on-year in October at the highest pace since July 2016.

The euro traded lower against the U.S. dollar at 1.1006 after hitting a bottom at 1.1002, the lowest level since November 14.

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