Europe Stocks Climb, Posting First Monthly Gain Since May

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European stocks advanced, posting their first monthly gain since May, as drugmakers climbed, outweighing a slump in Tesco Plc shares.

AstraZeneca Plc climbed 2 percent, leading a gain by health-care companies, after a report that Pfizer Inc. may have resumed takeover talks. Tesco dropped 6.6 percent after lowering its full-year profit forecast and its interim dividend.