European shares extended gains in morning trade on Monday, led higher by financials and drugmakers.

By 0907 GMT the pan-European FTSEurofirst 300 .FTEU3 index of top shares was up 1.1 percent at 1,009.28 points.

Banks were the top gainers. HSBC (HSBA.L), Banco Santander (SAN.MC) and Standard Chartered (STAN.L) were up 1.1 to 2.8 percent.

The drugs sector was also on the advance. Roche (ROG.VX), GlaxoSmithKline (GSK.L) and Novartis (NOVN.VX) were up 1.4 to 2.3 percent.