Europe stocks close higher as global markets react to weaker-than-expected U.S. jobs report

This was CNBC's live blog covering European markets.

European markets closed higher on Friday, starting November on a positive footing as traders considered the all-important U.S. jobs report.

The pan-European Stoxx 600 ended the session with a 1.11% gain, with all sectors and major bourses in positive territory. Bank stocks led the gains, up 1.68%.

The Stoxx 600 stocks closed lower on Thursday, ending October with its steepest loss for year as investors weighed corporate results, inflation data and a landmark U.K. budget.

Elsewhere, Asia-Pacific markets fell on Friday. Japan's Nikkei 225 index fell over 2.6% to extend losses from the previous session when the Bank of Japan held interest rates steady.

U.S. stocks opened higher on Friday as traders weighed the October jobs report.

The U.S. nonfarm payrolls report on Friday showed that the economy added just 12,000 jobs in October, far less than the 100,000 that economists polled by Dow Jones had been expecting. It is some of the last key economic data ahead of Tuesday's presidential election and the Federal Reserve's next policy meeting.

"The 12K figure was much weaker than expected and we had 112k erased from the previous two months, so that has increased the room for Fed cuts," FX Market Analyst Kyle Chapman at Ballinger Group told CNBC.

European stocks rebounded from three negative sessions on Friday, with the Stoxx 600 index closing 1.1% higher.

All sectors finished in the green, with France's CAC 40 and the U.K.'s FTSE 100 both gaining around 0.8% while Germany's DAX rose 0.9%.

— Jenni Reid

Isabel Albarran, investment officer at Close Brothers Asset Management, talks about the ramifications of the U.K. budget, and how it may take some time for confidence to grow.

U.S. stocks