European Stocks Set to Extend Losing Streak

Bruised European equities are set to open weaker on Monday, tracking declines on Wall Street and in Asia, as worries over credit-related losses at U.S. financial firms take a toll on global markets.

The yen sprinted to an 18-month high against the dollar, as investors unwound risky carry trades. The Nikkei 225 Average lost 2.5 percent.

Spread betters in London expect the FTSE 100 index to open 36 to 39 points lower, Germany's DAX is seen down 47 to 49 points and France's CAC 40 is seen falling 25 to 40 points.

The pan-European FTSEurofirst 300 index has lost about 5 percent so far this month, with the banking sector index tumbling 12 percent in a sector littered with losses linked to a crunch in credit markets.

HSBC Holdings is this week set to unveil a further big hit from its exposure to the U.S. mortgage crisis, the Sunday Telegraph newspaper said.

EADS is also in focus after Dubai-based airline Emirates picked the Airbus A350 airliner in orders potentially worth $35 billion on Sunday.