06:53 AM EST, 12/02/2024 (MT Newswires) -- European bourses tracked unevenly lower midday Monday as traders watched French politics, and weighed odds the present government could be unseated.

French stocks and bonds are down, as Prime Minister Michel Barnier's budget proposal risks triggering a no-confidence vote from the National Rally party, and a possible government shake-up.

Yields on 10-year France national bonds traded near 2.90%, almost 90 basis points above equivalent German bonds, a sign of investor discomfort with Paris.

Retail stocks bucked trends to gain on the continent, while property and tech issues lagged.

Investors also eyed Wall Street futures mildly signaling red, but higher closes overnight on Asian exchanges after relatively strong manufacturing reports from mainland China.

In contrast to China, the Eurozone purchasing managers index (PMI) fell to 45.2 November from from 46.0 in October, falling further below the 50-marker that separates growth from contraction, S&P Global reported.

The pan-continental Stoxx Europe 600 Index was down 0.2% mid-session.

The Stoxx Europe 600 Technology Index was off 0.5%, but the Stoxx 600 Banks Index gained 0.1%.

The Stoxx Europe 600 Oil and Gas Index was off 0.2%, and the Stoxx 600 Europe Food and Beverage Index declined 0.2%.

The REITE, a European REIT index, fell 0.8%, but the Stoxx Europe 600 Retail Index inclined 1.1%.

On the national market indexes, Germany's DAX was up 0.6%, and the FTSE 100 in London was up 0.1%. The CAC 40 in Paris was off 0.5%, and Spain's IBEX 35 gained 0.7%.

Yields on benchmark 10-year German bonds were lower, near 2.05%.

Front-month North Sea Brent crude-oil futures were up 1% to $72.53 per barrel.

The Euro Stoxx 50 volatility index was up 1.7% to 17.25, still indicating below-average volatility for European stock markets in the next 30 days, a positive signal. A reading above 20 indicates choppier markets ahead, while below 20 suggests calmer exchanges.