European Stocks Set for Cautious Open

European equity markets were headed for a subdued open on Monday as growing concerns over political instability and a deteriorating fiscal outlook across the region weighed on investor sentiment. Spanish government officials are reportedly preparing for an early election following a damaging parliamentary defeat last week. The development added to concerns over rising debt and political uncertainty in France, where opposition parties appear unwilling to compromise with President Emmanuel Macron’s outgoing administration ahead of next year’s vote. Meanwhile, softer-than-expected US jobs data released Friday eased pressure on the Federal Reserve to raise interest rates further, offering some support to equities. Oil prices also declined as signs of rising global supply outweighed concerns over ongoing geopolitical risks in the Middle East. In premarket trading, Euro Stoxx 50 futures were hovering around the flatline.