Data helps European shares to 1-week closing high

* FTSEurofirst 300 up 0.6 percent

* U.S. data and BoE, ECB rate decisions support stocks

* Oils, financials and retailers among top gainers

By Atul Prakash

LONDON, Nov 5 (Reuters) - European shares set a one-week closing high on Thursday after data showed new claims for U.S. jobless aid fell to a 10-month low and business productivity in the third quarter grew at the fastest pace in six years.

Investors risk appetite grew, with the VDAX-NEW volatility index .V1XI down 4 percent. The lower the volatility index, based on sell and buy options on Frankfurt's top-30 stocks <0#.GDAXI>, the higher is investors' desire for risky assets such as equities.

The FTSEurofirst 300 .FTEU3 index of top European shares ended up 0.6 percent at 990.53 points -- the highest close since Oct. 29 -- after an intraday low at 969.74.

Retailers were among top gainers, led by Delhaize (DELB.BR) which gained 5 percent after the Belgian group raised its 2009 operating profit forecast and reassured about its ability to cope with tough trading conditions in its main U.S. market.

Ahold (AHLN.AS) jumped 4.5 percent. The grocer is freeing up two of its most senior executives from day-to-day management operations, fuelling speculation it was stepping up the search for acquisitions. [ID:nL5438706]

Carrefour (CARR.PA), Tesco (TSCO.L) and J Sainsbury (SBRY.L) rose 0.7-3.5 percent.

"Everybody was cautious in the last few days, but the macro-economic data gave the market a little push," said Giuseppe-Guido Amato, strategist at Lang & Schwarz. "We see a good support here."

U.S. data showed productivity surged at a 9.5 percent annual rate, the quickest pace since the third quarter of 2003, while initial claims for state unemployment benefits dropped 20,000 to 512,000 last week, the lowest since January. [ID:nN05106320]

Energy shares gained ground as crude oil CLc1 traded around $80 a barrel, up more than 4 percent from a week ago. BP (BP.L), Royal Dutch Shell (RDSa.L), BG Group (BG.L), Tullow Oil (TLW.L), Repsol (REP.MC), Total (TOTF.PA) added 0.3-0.9 percent.

Across Europe, Britain's FTSE 100 index .FTSE, Germany's DAX .GDAXI and France's CAC 40 .FCHI rose 0.4-1.1 percent.