(fxcue news) - European stocks are likely to open lower on Monday as investors ponder over how the prospect of government drift and upheaval will affect consumers and businesses in Germany and France. The European Central Bank (ECB) is expected to cut interest rates again this week amid worries about how fiscal policy will develop in both countries. The Bank of Canada and Swiss National Bank are also expected to ease policy, while the Brazilian central bank may hike rates to arrest inflation pressures. Australia's central bank is likely to keep its key interest rate on hold as a resilient labor market keeps inflation elevated. Asian markets traded lower, with Seoul stocks leading regional losses as investors braced for a period of heightened volatility. Investors faced the risk of a prolonged stalemate after Saturday's impeachment motion against Yoon failed and the main opposition party said it will push quickly for another vote. Elsewhere, Chinese inflation data disappointed and signaled continued demand weakness. Japan's Q3 GDP was revised higher, testing bets on a December Bank of Japan rate hike. China's consumer price growth slowed in November and factory-gate prices extended declines, adding to pressure on officials to do more to revive consumer sentiment at a key policy meeting this month. In geopolitical news, the anti-government rebels on Sunday announced full control of Homs, the third main city in the nation, and the capital Damascus after Syrian President Bashar al-Assad fled the country, ending a fifty-year regime. Russian media reported that the ousted President had been granted asylum in Moscow on humanitarian grounds. Oil prices traded higher as tensions in Syria outweighed news of Saudi Arabia cutting prices by more than expected for buyers in Asia. Gold edged up slightly after China's central bank expanded its gold reserves in November, ending a six-month pause to a purchasing spree. U.S. stocks ended mixed on Friday after the release of better-than-expected jobs and consumer sentiment data. Data showed non-farm payroll employment shot up by 227,000 jobs in November after rising by an upwardly revised 36,000 jobs in October. The unemployment rate crept up to 4.2 percent from 4.1 percent in October, helping increase investors' confidence that the Federal Reserve will lower interest rates by another 25 basis points later this month. The tech-heavy Nasdaq Composite climbed 0.8 percent and the S&P 500 edged up by 0.3 percent to reach new record closing highs, while the Dow dipped 0.3 percent. European stocks closed broadly higher on Friday amid optimism about the French government passing a new budget within a matter of weeks. The pan European STOXX 600 gained 0.2 percent. The German DAX inched up by 0.1 percent and France's CAC 40 surged 1.3 percent while the U.K.'s FTSE 100 shed half a percent.