European shares rose for a second straight day on Thursday, after China said it would hold trade talks with the United States, raising hopes that the two countries will make progress on a dispute that has put major economies at risk of recession.
* Hong Kong leader withdraws extradition bill (Updates to close)
European shares retreated from a 1-month high on Tuesday as weak U.S. factory data added to worries about global growth, while uncertainty over Britain's chaotic exit from the European Union knocked the FTSE 100 lower after a four-day run of gains.
European shares rose after a weak open on Thursday, boosted by a rally in Italian shares, with positive comments from China on its trade talks with the United States helping sentiment. | Video
European markets eased off their lows on Tuesday, as Italian stocks rallied on hopes that a snap election could be avoided by an arrangement to form a new government in Rome.
European shares traded close to flat on Thursday as upbeat surveys on Germany and the euro zone offset signs that U.S. policymakers had not intended to start a cycle of interest rate cuts with last month's move. | Video
* Indexes up: Dow 0.44%, S&P 0.42%, Nasdaq 0.17% (Updates prices to early afternoon)
* Dow up 0.08%, S&P rises 0.21%, Nasdaq flat (Changes comment, updates prices)
* Indexes up: Dow 0.23%, S&P 0.28%, Nasdaq 0.13% (Updates to open)
* Futures up: Dow 0.42%, S&P 0.41%, Nasdaq 0.40% (Adds comment, updates prices)
The United States on Monday rejected China's claims to offshore resources in most of the South China Sea, drawing criticism from China which said the U.S. position raised tension in the region, highlighting an increasingly testy relationship.