* European shares mixed at end of last full trading week of 2020
* Outcome of talks on U.S. stimulus, Brexit trade deal loom
* All three major U.S. stock indexes hit record highs
* Dollar steadier after week-long beating
By Huw Jones
LONDON, Dec 18 (Reuters) - European shares were mixed early on Friday, capping the last full trading week of the year with investors still on edge over a Brexit trade deal and U.S. stimulus package.
"The uncertainty around what's coming over the next few days is keeping investors a little bit nervous as we have two factors likely to be resolved over the next days: the EU-UK deal and the U.S. stimulus plan," said Michael Hewson, chief market analyst at CMC (NS: CMC ) Markets.
A more pessimistic tone to Britain's protracted talks with the European Union weakened the pound, with only days remaining before the UK leaves the bloc's single market on Dec. 31.
The EU warned there were just hours left to strike a deal, undermining British domestically focussed mid-caps .FTMC as the prospect of trade tariffs in the New Year loomed.
"The EU-UK talks could well go right up to the wire as neither side wants to be seen be giving in too easily. It's all about the optics for both sides, so it could take a little bit longer than most people are comfortable with," Hewson said.
The British pound slipped 0.29% to $1.3546 GBP=D4 , off the two-and-a-half-year high it hit on Thursday.
Among the day's economic data, British retail sales fell 3.8% for the month in November when a four-week lockdown in England closed shops selling non-essential goods to the public.
A separate gauge of UK consumer confidence jumped by the most in eight years this month, boosted by the country's coronavirus vaccine programme.
WALL STREET RECORDS TUMBLE
The prevalent underlying mood on global equities remained upbeat. All three major U.S. stock indexes, the Dow, Nasdaq and S&P500, ended at record highs on Thursday on optimism about a coronavirus stimulus bill. S&P 500 futures ESc1 were flat.
Markets were also encouraged that the United States stood ready to ship 5.9 million doses of a new coronavirus vaccine developed by Moderna MRNA.O that's close to winning regulatory approval. though the current state of outbreak is so bleak, markets are assuming vaccines will help the U.S. achieve a herd immunity next year and that everybody will be dancing in spring, with pent-up demand for consumption exploding," said Kozo Koide, chief economist at Asset Management One.
Asian shares slipped on Friday after Reuters reported that the United States is set to add dozens of Chinese companies, including the country's top chipmaker SMIC 0981.HK , to a trade blacklist later in the day. broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS dropped 0.4% from Thursday's record. Mainland Chinese shares .CSI300 fell 0.35% while Hong Kong's Hang Seng .HSI lost 0.67%.
Japan's Nikkei .N225 dipped 0.2%, facing strong resistance around 27,000.
The dollar index stood at 89.91 =USD , having slipped below 90 for the first time in two and a half years.
The euro traded at $1.2260 EUR= , having hit a two-and-a-half-year high of $1.2273 on Thursday.
Bitcoin rose 1.9% to $23,256 BTC=BTSP after breaking $20,000 on Wednesday, setting off a fresh wave of buying. gold XAU= eased to $1,879.6 per ounce from a one-month high of $1,896.2 the day before. Copper CMCU3 hit its highest levels in almost eight years.
Oil climbed to a nine-month high before easing in Asia on Friday. Brent crude LCOc1 futures traded at $51.34 a barrel, down 0.3% on day but not far from Thursday's peak of $51.90, having gained 2.7% so far this week.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Global assets
http://tmsnrt.rs/2jvdmXl Global currencies vs. dollar
http://tmsnrt.rs/2egbfVh Emerging markets
http://tmsnrt.rs/2ihRugV MSCI All Country Wolrd Index Market Cap
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Editing by)
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.