European stocks start Q4 with stumble in the red
Government bond market borrowing costs tick up
Japan39;s yen edges toward 150 to the dollar

LONDON, Oct 2 Reuters World markets struggled to put a testing third quarter behind them on Monday, with stocks and the euro ticking lower, bonds still on edge and a lastminute deal to avert a U.S. government shutdown barely lifting Wall Street futures.

A opening move higher from the panEuropean STOXX 600 quickly gave way in the face of some weak PMI data, denting traders39; hopes for its first threesession run of backtoback gains since the middle of August.

MSCI39;s 47country world index was also lower, having lost 7 since July amid a sharp rise in oil prices and global borrowing costs . The updated euro zone September PMI data  seen as a key indicator of economic health showed manufacturing activity remains in a broadbased downturn.

It was enough to nudge the euro back into the red for the day. It, like many of the major global currencies, had fallen over 3 in the third quarter, unable to fend off irresistible U.S. dollar strength built on ongoing Federal Reserve interest rate rises. FRX

Markets in China, Hong Kong and India were closed for holidays but Tokyo39;s openforbusiness Nikkei jumped as much as 1.7 as the yen dribbled back towards 150perdollar, a weakness viewed as a boon for Japan39;s exporters.

We have had two big riskoff months and you have a riskon event with the U.S. government shutdown being postponed but…