LONDON, Nov 5 (Reuters) - European shares extended gains in afternoon session on Thursday, led higher by financial stocks, as investors returned to equities after better than expected U.S. macroeconomic data.

At 1547 GMT, the FTSEurofirst 300 index of top European shares was up 1.1 percent at 995.98 points after falling to a low of 969.74 points earlier in the session.

Banks were among top gainers, with Standard Chartered (STAN.L: Quote, Profile, Research), BNP Paribas (BNPP.PA: Quote, Profile, Research), Societe Generale (SOGN.PA: Quote, Profile, Research), Credit Agricole (CAGR.PA: Quote, Profile, Research) and Natixis (CNAT.PA: Quote, Profile, Research) rising 0.7 to 4.2 percent.

U.S. data showed new claims for U.S. jobless aid fell to a 10-month low last week and business productivity in the third quarter grew at the fastest pace in six years. (Reporting by Atul Prakash)