MORNING BID EUROPE-Tough sell for Cameron on Europe

* A look at the day ahead from European Economics and Politics Editor Mark John and EMEA Markets Editor Mike Dolan. The views expressed are their own.

LONDON, Feb 3 (Reuters) - Predictably, the reaction in some UK media to David Cameron's deal on Europe is not too enthusiastic. "It (Other OTC: ITGL - news) stinks," said The Sun, adding: "A steaming pile of manure". For the Daily Mail it is "The Great Delusion". That contrasts with the bounce sterling got yesterday on the unveiling of the EU reform proposals and the guardedly positive sounds coming out across Europe, including from those eastern capitals where Cameron will have to lobby hardest to win support. Many British voters will have already made up their minds which way they will vote in the referendum, but the next few weeks could be crucial in pushing the estimated one-in-five undecided voters into one camp or another. Today Cameron will be trying to sell the deal in the lower house of parliament while trying to keep his more eurosceptic ministers from lashing out against the package in public. It will also dominate a debate in the European Parliament in Strasbourg this morning.

In Greece, farmers are upping the ante in a dispute over pension reform, with blockaded traffic at a standstill -- a 14-km jam has been reported at the border with Bulgaria. Athens is starting a third day of discussions with lenders who think that its proposals for pension reform don't add up, in any case.

Spain's Socialist leader Pedro Sanchez launches talks today to form a coalition after he was asked to give it a go by King Felipe on Tuesday. Chances of success are frankly slim as he would need to strike a deal with several parties whose policies are incompatible. He has already ruled out a coalition with the outgoing PP and senior members of his party oppose any deal with anti-austerity Podemos. Moreover he will not seek backing from any of the parties that favour Catalonian independence.

MARKETS AT 0745 GMT

Another swoon in energy markets and the looming Chinese new year holiday next week are creating havoc for world markets again. U.S (Other OTC: UBGXF - news) . crude prices are back below $30 and Brent is down below $33 amid rising inventories, unfettered production from Russia, Iran and elsewhere and scant sign of any OPEC-led agreements on output cuts. As with BP results yesterday, there are many shoes waiting to drop as a result of this, not least fresh pressure on emerging market currencies, budgets, reserves and sovereign funds, which then directly feed back into the western markets those are largely invested in. Concern about the impact on inflation and the wider economy is clearest in the latest plunge in bond yields, where 10-year US Treasuries yields fell as low as 1.83 pct, its lowest since April (LSE: 0N69.L - news) , and European yields and inflation expectations slid lower too. With (Other OTC: WWTH - news) the S&P500 closing down almost 2 pct last night, Tokyo led the way in Asia with the Nikkei down more than 3pct, wiping out all the gains made since the BoJ move on Friday as the yen climbs again. Even (Taiwan OTC: 6436.TWO - news) though BOJ chief Kuroda said today that more easing is possible, there are many concerns the BoJ's move jumped the gun and its ineffectiveness in stabilising markets may also undermine the threat of more easing from the ECB and others. HK was down more than 2 pct, with holiday-related capital controls keeping things stable in China even though the offshore yuan slipped again to 3-week lows. FX market speculation is centering on the release of January Chinese FX reserves data that could come any time over the next week. Seoul stocks are down almost 1 pct as the won hit 5-1/2 year lows and emerging Asia currencies weakened across the board. Euro/dollar and the dollar index were both flat.

Syngenta (LSE: 0QOP.L - news) are shares seen up around 20 percent after China's state-owned ChemChina said it would make an agreed $43 billion bid for the Swiss seeds and pesticides group, marking the largest ever overseas acquisition by a Chinese company.

Upcoming events/data/ themes for market reports on Wednesday:

- Global Jan services and composite PMIs

- European corp events: BBVA (Amsterdam: BA6.AS - news) , GlaxoSmithKline (Other OTC: GLAXF - news) , ABB (NYSE: ABB - news) , Syngenta

- Italy Jan inflation

- ECB's Draghi speaks in Frankfurt

- EZ Dec retail sales

- Poland rate decision

- Turkey Jan inflation

- US Q4 earnings: GM (NYSE: GM - news) , Merck (Other OTC: MKGAF - news) , Comcast, Visa (Xetra: A0NC7B - news) , Accenture (NYSE: ACN - news) , MetLife (NYSE: MET - news)

- US Jan ADP private sector employment survey (Editing by Sonya Hepinstall)