Stock climb in Great Britain and France amid hopes for Brexit trade deal

European stocks traded higher in a light trading session Thursday as traders grew optimistic a Brexit trade deal would be reached, Report states, citing the auction data.

Britain’s FTSE 100 rose by 0.4% to 6,521, while France’s CAC added 0.3%. The German and Italian markets are closed for Christmas Eve.

British bank shares led the gains as traders bet a deal would be agreed soon, with Lloyds climbing 7%, Barclays rising nearly 4%, and Natwest up over 3%.

Trading volume on Thursday and Friday is expected to be reduced due to the celebration of Catholic Christmas. On Thursday, the German stock market is closed, and the UK and France markets work less than usual. On Friday, trading in Europe and the United States and partly in Asia will not take place.

The key event for investors on the last day before Christmas is the EU-UK trade agreement. Negotiations between the European Union and the United Kingdom on a future partnership agreement are now in the final stage. On Thursday, a spokesman for the European Commission said that the parties continue to work on a trade agreement. The conclusion of a trade deal may be announced today.