Inquiets for Evergrande, equity markets should open in the red. The Eurostoxx 50 opened at 4,130.84 points down 0.94%, the CAC 40 at 6,570.19 points (-0.79%), the DAX 30 at 15,490.17 points (-1.03%), the FTSE 100 at 6,963.64 points (-0.91%), the SMI  at 11,935.53 points (-0.77%), the AEX at  789.49 points (-1.09%), the BEL 20 at 4,133.21 points (-0.43%), the IBEX 35 at 8,760.90 points (+0.31%), the DJIA at 34,584.88 points (-0.48%), the Nasdaq at 15,043.97 points (-0.91%), the S&P 500 at 4,432.99 points (-0.91%) and the Nikkei 225 which is at 30,500.05 points with a recovery of 0.58%.

 On the exchange rate side, the variation from the close in New York indicates a general decline. EUR/USD opened at 1.1715 down 0.10%, EUR/JPY at 128.77 (-0.17%) and USD/JPY at 109.93 down 0.07%.

Investors will be attentive on Monday to the announcement of the technical reference price of UMG shares, listed on the stock exchange by Vivendi. This price will be unveiled after the close of the European markets.

European equity markets are expected to start the session in decline on Monday, as financial difficulties at Chinese real estate developer Evergrande weigh on investor sentiment. Investors are also cautious ahead of monetary policy announcements by several major central banks, including the Federal Reserve (Fed), the Bank of England and the Bank of Japan, this week. At 7:45 a.m., the CAC 40 futures contract lost 39 points, or 0.6%, according to data from broker IG Markets. The DAX contract was down 89 points, or 0.6%. The composition of the DAX, the flagship index of the Frankfurt Stock Exchange, increases this Monday from 30 to 40 stocks. The FTSE 100 contract gave up 20 points, or 0.3%.

Le Hang Seng, the flagship index of the Hong Kong Stock Exchange, fell 3.3% at the end of the session, weighed down by real estate stocks, investors fearing the potential fallout from Evergrande's financial difficulties. The Chinese and Japanese stock exchanges are closed on Monday due to public holidays in these two countries. In the United States, the political battle over raising the debt ceiling is expected to intensify this week, with Democrats and Republicans still opposing the issue and doubts are emerging about the possibility of Congress acting before the federal government runs out of money. The stalemate has alarmed Wall Street analysts and business leaders who in recent weeks have issued warnings about the growing risk of a technical default. The threat of such a default could derail markets and affect U.S. economic growth.

Wall Street ended lower on Friday, as investors were nervous about uncertainties about the pace of recovery and inflation. Volatility has also been exacerbated by fears of the "four witches", the simultaneous expiration of futures and options on stocks and indices. The Dow Jones Index (DJIA) lost 0.5% to 34,584.88 points, while the S&P 500 index fell 0.9% to 4,432.99 points. The Nasdaq Composite index, rich in technology stocks, ended down 0.9% to 15,043.97 points.

US Treasury yields rose on Friday, reaching their highest levels in at least a week before the Fed's monetary policy committee meeting. Rates were buoyed by the announcement of a University of Michigan household confidence index near its lowest levels in a decade. The yield on the ten-year bond, the market's benchmark bond, closed at 1.371% on Friday.

The euro fell on Monday against the dollar, penalized by a risk aversion movement before the Fed's monetary policy meeting. According to CBA, risks to the dollar are tilted to the downside. The bank expects the Fed to leave its policy unchanged and warns that any dovish message could weigh on the U.S. currency.

Oil prices continue to decline Monday morning, while crude production in the Gulf of Mexico slowly recovers after Hurricanes Ida and Nicholas. At 7:40 a.m., the November Contract for North Sea Brent lost 56 cents to $74.78 a barrel. The October contract for light sweet crude (WTI) listed on the Nymex was down 61 cents to $71.36 a barrel.