Europe stocks open mixed after French government ousted; Shell, Equinor to create joint UK venture

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French financial markets are in focus after Prime Minister Michel Barnier’s government was toppled in a vote of no-confidence Wednesday.

index moved between narrow losses and gains in early trade. Travel and banking stocks led gains, while industrials fell 0.24%.

France's CAC 40 was up 0.13% at 8:11 a.m. in London, while Germany's DAX gained 0.06%. The U.K.'s FTSE 100 slipped 0.05%.France is facing an unsustainable debt trajectory and higher bond yields, but its situation is not the same as the"France is not insolvent to begin with, A, and B, big countries, G7 countries, they don't get debt crises in the 21st century. This is the purview of smaller countries.

French borrowing costs have risen to a 12-year high against Germany's amid concerns that it will not be able to pass a budget to reduce its deficit, while its bond yields drew level with Greece's for the first time on record. That was seen by analysts as a symbolic milestone, given France's stronger fundamentals and Greece's turbulent market history, which saw its bonds downgraded to junk status in 2010 and subsequent bailouts.

"We have to acknowledge it's not the euro zone crisis, can borrow their way out of trouble, just not at the pace that they're used to. We have debt acceleration, and that happens everywhere in the world right now. The U.S. is the primary culprit."on Thursday announced plans to combine their British offshore oil and gas assets to create a jointly owned energy company.

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