European stock markets closed higher Monday as oil prices tumbled and investors looked ahead to US President Donald Trump's meetings with China's Xi Jinping.

The Stoxx Europe 600 rose 1%, Germany's DAX 40 gained 1.1%, the FTSE 100 increased 0.8%, France's CAC 40 advanced 0.9%, and the Swiss Market Index climbed 1.2%.

The Bank of England and the Federal Reserve have intensified scrutiny of banks' exposure to large trading firms and market makers following losses at Jane Street, the Financial Times reported, citing people familiar with the matter.

In corporate news, Novo Nordisk (NVO) outlined long-term financial and pipeline targets, including plans for 150 billion Danish kroner ($23 billion) in pipeline sales in 2035 and the launch of at least five "multi-blockbusters" by 2030.

Separately, Novo Nordisk said its investigational once-weekly weight-loss and diabetes treatment CagriSema was superior to tirzepatide and met its primary superiority endpoint in two late-stage trials.

Shares of Novo Nordisk dropped 7.7% in Copenhagen.