European stocks set for biggest weekly gain in 12 weeks

European stocks rose on Monday, heading for their biggest weekly gain in 12 weeks, as traders assessed US President Donald Trump’s nominee for Federal Reserve governor.

Danish drugmaker Novo Nordisk rose 3.2%, among the top performers on the STOXX 600, after a late-stage study of rival weight-loss drug Eli Lilly showed weaker results than Novo Nordisk’s injectable obesity treatment Wegovy.

The pan-European STOXX 600 index gained 0.2% by 07:15 GMT. Most financial markets in the region also rose, with Spain’s IBEX index rising 0.4%, Reuters reported. The UK’s FTSE 100 index rose 0.2%, a day after the Bank of England decided to cut interest rates by a quarter percentage point in a close vote of five to four, with inflation concerns overshadowing the decision. Munich Re shares fell 7%, among the biggest decliners on the index, after the German reinsurer lowered its full-year insurance revenue forecast due to business and foreign exchange rates.