European stock markets edged higher on Monday, as investors looked ahead to a trading week due to feature key economic data and a potential U.S. government shutdown.

The pan-European Stoxx 600 had climbed by 0.3%, while the Dax in Germany gained 0.2%, the CAC 40 in France rose 0.1%, and the FTSE 100 in the U.K. increased around 0.2%.

Shares of Britain's GSK rallied over 2%, boosting the wider health care sector, on news that the drugmaker's CEO Emma Walmsley will step down. Walmsley is due to be replaced by Luke Miels in January.

AstraZeneca's stock price also ticked up after the U.K. pharmaceutical group said it planned to retain its London listing and headquarters, but would list its shares directly on the New York Stock Exchange, rather than through depositary receipts.

Technology and industrial goods and services sectors were also among the outperforming sectors.

Attention is turning to the unveiling of September's nonfarm payrolls report on Friday, which could provide a glimpse into the state of the American labor market.

Supporting a cooling jobs picture has been a major focus for Federal Reserve policymakers. When the central bank slashed interest rates by 25 basis points earlier this month, officials widely suggested that a need to prioritize the slowing employment situation over signs of sticky inflation.

A collection of rate projections from the Fed also showed that many members are anticipating further drawdowns before the end of the year. In theory, cutting rates can spur on investment and hiring, albeit at the risk of driving up prices.

Economists are anticipating that the U.S. added 51,000 roles this month, compared to 22,000 in August. The unemployment rate, meanwhile, is tipped to equal August's level of 4.3%.

Observers have predicted that, given elevated inflation data, a strong jobs report could persuade the Fed to roll out further rate cuts at a more measured pace.

Yet worries remain that a possible U.S. government shutdown this week may delay the publication of the jobs numbers.

Congressional lawmakers are currently facing an impending deadline to pass a stopgap funding bill before the fiscal year ends on Tuesday. If the federal government would enter its 15th partial shuttering since 1981.

Republicans currently control both chambers of Congress, although the votes of some opposition Democrats would be needed to pass the legislation. However, Democrats have so far rejected a short-term bill, calling for any potential bill to reverse Republican reductions to health care programs.

Source: Investing.com