The euro on Monday fell to an 11-year low versus the yen following a mass downgrade that stripped France and Austria of their AAA rating and cut eight further sovereigns.

Europe's currency dropped to its lowest point since 2000 to reach 97.10, compared with 97.59 on Friday.  Japan's Nikkei Stock Average dropped 1.43 percent, South Korea's Kospi fell 0.9 percent and China's Shanghaio Composite lost 1.71 percent.

Meanwhile, negotiations between Greece and private sector creditors about the restructuring of debt broke down at the weekend, adding also to market instability.