European Shares Seen Mixed As French No-confidence Vote Looms

(RTTNews) - European stocks are likely to open on a mixed note Wednesday as French lawmakers vote later in the day on no-confidence motions over a budget dispute that could take the country in unchartered territory.

With the far-right teaming up with the left in an unholy alliance, the government is on the brink of collapse so close to the end of the year.

President Emmanuel Macron has called on lawmakers to set aside their personal ambition and reject the vote.

On the data front, U.S. reports on private sector employment, factory orders and service sector activity are likely to attract attention later in the day along with remarks by Fed Chair Jerome Powell.

The closely watched monthly jobs report is due on Friday, with economists expecting a rebound in job creation, though the jobless rate could rise further.

The November jobs report could impact the outlook for interest rates ahead of the Fed's next monetary policy meeting later this month.

CME Group's FedWatch Tool currently indicates a 72.1 percent chance the Fed cuts rates by another 25 basis points on December 18.

Asian markets were broadly lower, with South Korea's Kospi average falling nearly 2 percent due to the political storm in the country, where martial law was imposed and subsequently lifted hours later.

A private survey showed today that China's services sector grew less than expected in November, in a sign that consumer demand remains sluggish despite recent stimulus measures.

The Chinese yuan rebounded from a 13-month low after a firmer midpoint fixing by the country's central bank.

The South Korean won hovered near a two-year low due to uncertainty the political landscape and the economy.

Gold edged up slightly amid rate cut expectations. Oil steadied after climbing more than 2 percent on Tuesday, as OPEC+ made progress toward a deal to delay further the restoration of shuttered supply and Israel threatened to attack Lebanon if the truce with Hezbollah collapses.

U.S. stocks ended mixed overnight as data showed job openings picked up and layoffs eased in October. Fed Bank of San Francisco President Mary Daly said a rate cut this month isn't certain but remains on the table.

The tech-heavy Nasdaq Composite rose 0.4 percent and the S&P 500 finished marginally higher to reach new record closing highs while the Dow eased 0.2 percent.

European stocks closed higher on Tuesday after new U.S. curbs on tech exports to China fell short of earlier proposals.

The pan European STOXX 600 rose 0.4 percent. The German DAX gained 0.4 percent to close at a record high, France's CAC 40 added 0.3 percent and the U.K.'s FTSE 100 climbed 0.6 percent.