European Stocks Tumble Ahead of Busy Week

European equity markets are expected to open flat to slightly lower on Monday as investors grow cautious ahead of a busy week. Several key events are set to take place, including Federal Reserve Chair Kevin Warsh's first Jackson Hole speech and important US economic data releases that could provide insight into the outlook for inflation and interest rates.

Treasury yields have eased alongside oil prices, with Brent falling towards $93 per barrel. Investors are awaiting details of Treasury Secretary Scott Bessent's fiscal consolidation plans and his planned economic measures against Iran, which he described as the 'single greatest financial offensive ever.'

Nvidia's earnings and guidance will be closely watched for signs of the sustainability of the AI spending boom and whether the rally this year has further room to run. Pre-market trading shows Euro Stoxx 50 futures down by 0.1%, while Stoxx 600 futures remain flat.