European Markets Close Mixed Amid Political Turmoil In France

European stocks turned in a mixed performance on Monday as investors reacted to the developments on the political front after France's Prime Minister Sebastien Lecornu submitted his resignation to President Emmanuel Macron, barely a few hours after unveiling his cabinet.

The yield on Germany's 10-year bund rose to 2.73% this morning following the latest political developments in France.

Despite regaining some lost ground after a sharp early setback, the French stock market languished in negative territory as the mood remained quite bearish following a warning from Socialists that they would vote against the government if its fails to break with the President's past policies.

Traders also digested the latest batch of regional economic data, and continued to assess the potential impact of the government shutdown in the U.S.

Bank stocks were among the major losers. In the UK market, miners and energy stocks found support thanks to higher commotity prices.

The pan European Stoxx 600 edged down 0.04%. The U.K.'s FTSE 100 closed down by 0.13%, and Germany's DAX settled flat, while France's CAC 40 ended 1.36% down, despite recovering some lost ground. Switzerland's SMI climbed 0.35%.

Markets in Austria, Belgium, Finland, Greece, Ireland, Poland, Spain and Turkiye closed weak.