European stocks in red after French premier resigns

By Mucahithan Avcioglu

ISTANBUL (AA) - European stock markets opened in negative territory on Monday amid rising geopolitical tensions and political uncertainty in France.

As of 0840GMT, the Stoxx Europe 600 index was down 0.38% to 568.3 points and France's CAC 40 led losses, falling 1.94% to 7,924.69.

Germany’s DAX 40 index and the UK’s FTSE 100 each slipped 0.1%, trading at 24,356.41 and 9,482.16 points, respectively.

In Southern Europe, Italy's FTSE MIB 30 declined 0.67% to 42,970.43 points, while Spain’s IBEX 35 dropped 0.42% to 15,519.6 points.

Market sentiment was rattled by fresh political turmoil in France. Following the collapse of Francois Bayrou’s government due to a failed confidence vote in the National Assembly, newly appointed Prime Minister Sebastien Lecornu formed a government on Sept. 9.

However, just hours after its formation, Lecornu resigned, deepening political instability and triggering further declines in regional indices.

Heightened geopolitical risks continued to weigh on markets. Recent violations of European airspace by Russian aircraft have escalated tensions, while ongoing developments in the Russia-Ukraine war and discussions around new sanctions remain key concerns for investors.