UPDATE 2-European shares up for fourth session on stimulus, vaccine optimism

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* German DAX jumps 0.8%, Briish blue-chips fall 0.3%
* BoE stands pat on policy, awaits Brexit trade deal
decision
* Signature Aviation rockets 40%
* Rio Tinto up, appoints CFO Stausholm as new CEO

(Updates to close)
By Susan Mathew and Amal S
Dec 17 (Reuters) - European shares held near 10-month highs
on Thursday, as hopes of more stimulus in the United States and
potential COVID-19 vaccine rollouts in Europe strengthened the
case for a global economic recovery.
Germany's DAX .GDAXI climbed 0.8% to close at its highest
since February, while the pan-European STOXX 600 index .STOXX
rose 0.3%, both extending gains to a fourth straight session.
With the pound GBP= surging as Brexit trade talks
progressed and as the Bank of England stood pat on policy
awaiting the fate of the deal, London's FTSE 100 .FTSE lagged
0.3%. .L
"As long as there is a Brexit deal by 31st December 2020, we
don't think (BoE) will need to loosen policy next year either,"
said Tom Pugh, an economist in Capital Economics' UK team.
Topping the STOXX 600 were shares of Singature Aviation
SIGSI.L , rocketing 40.1% and conglomerate Thyssenkrupp
TKAG.DE surging 11.3%, both up on merger and acquisition
chatter. Meanwhile, Germany and France said they were set to begin
inoculating their citizens with the Pfizer-BioNtech vaccine in
the last week of December, once it is approved by the European
Medicines Agency. In the United States, lawmakers are inching closer to a $900
billion stimulus package, while the Federal Reserve promised to
keep funnelling cash into markets until the U.S. economic
recovery is secure. This comes after the European Central Bank rolled out more
stimulus measures last week.
Aggressive monetary support has helped the STOXX 600
.STOXX come closer to pre-pandemic levels, but it still
remains about 8% below its high this year.
A resurgence in COVID-19 cases leading to more curbs had
dented the recovery path in October, but vaccine optimism put it
back on track until Brexit concerns slowed the pace.
"There's just optimism around a deal both in the United
States and Brexit. These are the two major issues that are still
outstanding for the year and both of them appear to be on a
positive trajectory and could be wrapped up over the next few
days," said Craig Erlam, senior market analyst at OANDA Europe.
Shares of WPP Plc WPP.L jumped 4.2% as the world's biggest
advertising firm said it expects to return to its 2019 level of
net sales by 2022. The basic materials index .SXPP rose, with Rio Tinto
RIO.L up 1.0% after the miner appointed Chief Financial
Officer Jakob Stausholm as its next chief executive.
Novartis NOVN.S climbed 1.2% after the drugmaker said it
would acquire U.S.-based neuroscience company Cadent for up to
$770 million.