Shares in Europe are set for a mixed open Wednesday as investors monitor surging interest rates in the bond markets.

The FTSE 100 is seen lower by 7 points at 7,723; the German DAX is expected to start higher by 14 points at 12,988; and the CAC 40 is set to start up by 2 points at 5,550; according to IG.

Asian equities traded slightly lower on renewed geopolitical uncertainty related to North Korea. The country ditched plans for talks with South Korea due on Wednesday after joint military trainings between the U.S. and Seoul, Reuters reported.

Stateside, stocks were impacted by rising bond yields. The yield on the 10-year sovereign rose to 3.09 percent on Tuesday, the highest in seven years. Higher yields mean higher borrowing costs for companies and thus fewer margins for dividends.

Back in Europe, investors will be waiting for further earnings and data. Alstom, Telecom Italia and Burberry are among the firms set to report Wednesday.

In terms of data, there will new inflation numbers due from Germany at 7 a.m. London time and the IEA oil market report due at 9 a.m. London time.