European shares fall as pharma stocks come under fire; Richemont rallies

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* STOXX 600 down 1 pct, set for biggest weekly fall since Feb

* Drugmakers fall as US lawmakers seeks price fixing probe

* Richemont among top gainers after results, management revamp

* But JC Decaux falls on negative rev growth outlook

By Danilo Masoni

MILAN, Nov 4 (Reuters) - European shares fell on Friday, weighed down by weaker drugmakers after two U.S. lawmakers called on federal antitrust regulators to open a probe for possible price fixing.

A slew of earnings updates also delivered a mixed picture.

The U.S. lawmakers on Thursday called for a probe into whether Sanofi (LSE: 0O59.L - news) , Eli Lilly, Merck (LSE: 0O14.L - news) and Novo Nordisk (LSE: 0QIU.L - news) colluded to set prices for insulin and other diabetes drugs. Sanofi and Novo Nordisk were down 1.6 and 2.9 percent respectively.

Top faller was Hikma, down 7 percent after HSBC cut its price target citing broader market concerns over a separate U.S. Department of Justice investigation into price collusion in the pharma market.

The sector has been hit recently by worries that Hillary Clinton could seek tougher pricing regulation if she wins the race for the White House.

"A Clinton victory could be unhelpful for health care stocks," Citi analysts said in a strategy note.

The pan-European STOXX 600 index was down 1 percent and on track for its biggest weekly fall since February. The index has been hit by growing nervousness before the U.S. presidential election.

"As the presidential election race appears to (be) getting tighter with only a few days left until Americans are going to the polls many traders continuing to reduce their risk exposure further which is also weighing on stocks," Markus Huber, trader at City of London Markets said in a note.

Elsewhere market action was driven by earnings updates.

France's Richemont rose 6 percent after the luxury goods group announced a management revamp after sales and core net profit in the six months to September, hit by one-off restructuring charges and product buy-backs.

Helvea analyst Andreas von Arx said the key figures were above expectations while other analyst welcomed management comments that sales in October were modestly positive. The company had issued a profit warning in September.

Among outstanding gainers, Ubisoft soared 9.5 percent, topping STOXX gainers, as Kepler Cheuvreux upgrade the French game developer to "buy" after the company lifted its operating profit target.

Shares (Berlin: DI6.BE - news) were bosted at Cosmetics giant L'Oreal, whose sales growth beat expectations, and gambling firm Paddy Power, which lifted its full-year profit forecast citing a boost in the sterling value of its euro revenue, this year's merger and favourable sporting results.

But French outdoor advertising company JC Decaux (Dusseldorf: 1140587.DU - news) fell 7.3 percent after it said organic revenue growth would turn negative in the final quarter of the year and affect margins. (Reporting by Danilo Masoni)