Europe’s regional Stoxx 600 index was 0.69% lower at 8:30 a.m. London time, with Germany’s DAX index falling 1.2%.

Technology was the worst-performing sector, down 4%, as artificial intelligence firms retreated around the world on concerns over competition from China’s DeepSeek.

Nigel Green, CEO of financial advisory deVere Group, said DeepSeek’s newly launched AI model had been reported to be more cost-effective while running on less advanced chips than tools such as OpenAI’s ChatGPT.

 “Deepseek is going to challenge Silicon Valley’s leadership, disrupting the global tech landscape and reshaping the direction of the AI arms race,” Green said in emailed comments.

“The launch of this innovation underscores a historic pivot in the balance of technological power.”

— Jenni Reid

Budget airline Ryanair on Monday cut its passenger traffic goal for the fiscal year to the end of March 2026 once again, citing prolonged Boeing delivery delays.

The firm also reported stronger-than-expected after-tax profit for the December quarter, noting marginally higher fares because of stronger Christmas and New Year bookings.

“I’d be optimistic into next year. Bookings are very strong into the summer, although it is just too early to call where they may go,” Ryanair CFO Neil Sorahan told CNBC’s “Squawk Box Europe” on Monday.

“Disappointed that we’re not going to hit the traffic numbers that we would have hoped,” he added.

Read the full story here.

— Sam Meredith

Spot gold rose 1% to $2,781.66 per ounce on Friday to trade at its highest level since Oct. 31, when gold prices hit a record high of $2,790.15.

Gold’s climb back to its all-time highs came on the back of Trump’s comments at the World Economic Forum for lower interest rates. Uncertainty around the strictness of Trump’s tariffs and whether the U.S. president will ultimately settle for a trade deal with China also contributed to the rally in gold prices.

Gold is traditionally used as a safe-haven asset that investors flock to during times of political and economic volatility.

— Lisa Kailai Han

Roughly 90 S&P 500 companies are due to post their latest quarterly figures. 

Here’s your earnings calendar for the week:

• Monday: AT&T, Nucor
• Tuesday: Starbucks, Boeing, Lockheed Martin, Royal Caribbean Group, Kimberly-Clark, General Motors, RTX, Synchrony Financial
• Wednesday: ServiceNow, International Business Machines, Meta Platforms, Lam Research, Western Digital, Tesla, Microsoft, Hess, Corning, T-Mobile, Norfolk Southern, Raymond James Financial, Automatic Data Processing
• Thursday: Baker Hughes, Apple, Visa, Deckers Outdoor, Intel, PPG Industries, KLA, Sherwin-Williams, Altria Group, Comcast, Southwest Airlines, Quest Diagnostics, Valero Energy, PulteGroup, Caterpillar, United Parcel Service, Thermo Fisher Scientific, Tractor Supply, Northrop Grumman, Mastercard, Blackstone, L3Harris Technologies
• Friday: Phillips 66, Colgate-Palmolive, Exxon Mobil, Chevron, AbbVie

Read here for CNBC Pro’s breakdown of some key reports.

— Pia Singh

European markets are expected to open in negative territory on Monday.

The U.K.’s FTSE 100 index is expected to open 7 points lower at 8,488, Germany’s DAX down 68 points at 21,320, France’s CAC down 36 points at 7,893 and Italy’s FTSE MIB down 173 points at 36,242, according to data from IG.

Earnings come from Ryanair on Monday and data releases include Germany’s Ifo business climate survey.

— Holly Ellyatt