European Stocks Higher on hopes for Coronavirus Treatment

European stocks rose from their lowest level in two weeks, as signs of progress in developing a treatment for Covid-19 disease overshadowed concerns about an increase in cases on the continent, threatening to curb an economic recovery.

The European STOXX 600 index rose 1.3%, following the gains in Asian markets after the US Food and Drug Administration allowed the use of blood plasma from patients recovering from Covid-19 as a treatment.

Technology, mining and chemical stocks led gains in early trade, rising more than 1.5%.

AstraZenica rose 2.1% after the Financial Times reported that the Trump administration was considering expediting the approval process for an experimental Covid-19 vaccine developed by the company.

The gains came after a week that saw European stocks weakly perform under pressure of data indicating a faltering recovery in corporate activities in the euro area amid growing cases of Coronavirus.

British telecoms group PT jumped 6.1% to top the STOXX 600 after a media report that the board of directors would tackle takeover efforts from competitors and investment firms.