European shares closed higher on Wednesday as US shares continued to rally amid hopes the US Federal Reserve will start to cut rates earlier in the new year.
The Dow Jones rose to another all-time high on Tuesday, while the S&P 500 neared record territory, as rate-cut hopes continued to fuel an end-of-year rally on Wall Street.
London's stock markets saw a notable upswing on Wednesday, driven by encouraging data revealing a greater-than-anticipated slowdown in UK inflation for November.
US stocks finished higher on Monday, though gains for the Dow were only modest with the index already at record highs, as investors continued to digest mixed messages from Federal Reserve policymakers about the interest-rate outlook.
London markets remained in positive territory by the close of Wednesday after weak UK GDP data led investors to anticipate a potential rate cut from the Bank of England.
Wall Street stocks closed higher on Thursday, with the market finding optimism in fresh labour market indicators, fueling expectations of a potential interest rate cut from the Federal Reserve.