Europe close: Dax posts fresh record high

European shares continued pushing on Friday amid optimism that an agreement would be reached in talks on the US debt ceiling.

Ironically, just before the end of the trading session it was reported that US republican lawmakers had walked out of debt ceiling talks at the White House with no immediate plans to resume negotiations.

The pan-regional Stoxx 600 index was up 0.66% to 468.85, alongside a 0.69% advance for the German Dax to 16,275.38 - a fresh record high.

Italy's FTSE Mib put on 1.05% to reach 27,520.33.

Data published in the morning showed that German producer prices rose slightly more than expected to 4.1% in April, on a year-on-year basis, likely keeping the European Central Bank on course for more interest rate hikes.

In equity news, Smiths Group shares edged up as the industrial technology company lifted revenue guidance after a strong third quarter, driven by volume and price growth. Organic revenue was up 13.4% for the nine months to April 30, leading Smiths to increase 2023 guidance to around 10% organic revenue growth with "moderate" margin improvement.