(For a live blog on European stocks, type LIVE/ in an Eikonnews window)
* FTSE 100 up 0.1 pct
* Shire gains after China nod to Takeda deal
* Housebuilders under pressure
* Investec rallies on spin-off plans
By Danilo Masoni
MILAN, Sept 14 (Reuters) - Britain's top share index trackedhigher European markets on Friday with the mood buoyed by easingtrade worries, while Shire rose after China cleared Takeda'splans to buy the drugmaker.
The FTSE 100 was up 0.1 percent by 0857 GMT,underpinned by gains among the energy and healthcare sectors,which more than offset weakness among utilities, hit earlierthis week by a profit warning from SSE.
"Traders (are) hopeful about U.S.-China trade talks despitePresident Trump being the fly in the ointment, downplayingprospects for quick negotiations," Accendo Markets analayst Mikevan Dulken said.
Trump said on Thursday that the United States was under nopressure to make a trade deal with China, even as Chineseofficials welcomed an invitation from Washington for a new roundof talks with more U.S. tariffs looming.
The FTSE was set for a small weekly gain following twoconsecutive weeks of losses partly due to a rally in the poundon prospects of a Brexit deal with the European Union.
On Friday the pound rose further, touching its highest levelsince early August. The index, whose constituents make more thantwo-thirds of their sales abroad, shrugged off the latest movein the pound but it remains down 5.3 percent so far in 2018.
Shire rose 1.5 percent.
Takeda Pharmaceutical said China approved itspurchase of Shire, the latest regulator to clear the $62 billiondeal and bring the Japanese group closer to becoming a globaltop 10 drugmaker.
Taked expects the deal to close in the first half of 2019although it needs shareholder approval to raise the funds to payfor the $62 billion deal.
British housebuilders were under pressure after Bank ofEngland governor Mark Carney was reported in The Times as havingtold ministers that a no-deal Brexit could cause house prices tofall by 35 percent over three years.
Barrat Developments and Taylor Wimpey wereboth down around 1 percent, among the top fallers on the FTSE.
Mid-cap Investec rose 8 percent on news it plans tohive off and separately list its asset management unit in arestructuring that comes as the long-serving company founderleaves the financial services group.
"Investec's plan to spin off its asset management arm lookslike a sensible decision as it should allow management morefreedom to drive that business forward and not be constrained byhaving to follow the strategy of the current parent which ispredominantly a specialist banking business," said Russ Mould,investment director at AJ Bell.
JD Wetherspoon declined 0.7 percent after the pubchain said it expected higher costs this year even though arecord heatwave that brought in more customers lifted itsfull-year profit.(Reporting by Danilo MasoniEditing by Mark Heinrich)
