European stocks dropped for a fifth straight session on Friday, with the German market leading the charge south after Deutsche Bank posted a bigger-than-expected loss in the fourth quarter. A continued rise in bond yields also weighed on European equities, sparking a pullout of money from stocks after solid U.S. labor market data stoked fears of rapidly rising inflation.

Dow futures fell more than 200 points Sunday, following steep losses on Wall Street last week. Dow Jones industrial average futures YMH8, -0.45% were last down 194 points, or 0.7%, after being down as much as 250 points earlier in Sunday trading. S&P 500 futures ESH8, -0.24% were last down 12.70 points, or 0.4%, and Nasdaq futures NQH8, -0.17% fell 23.75 points, or 0.4%, recovering somewhat from deeper losses earlier.

The global stock-market rout continued Monday in Asia, with indexes in Japan and Taiwan down more than 2% following heavy selling in the U.S. and Europe on Friday. "Everyone is getting cautious," said Hisao Matsuura, chief strategist at Nomura Japan. He said the continuing rise in global bond yields caught investors unaware, weighing on stocks.