10 Things You Need To Know Before European Markets Open

REUTERS/Miraflores PalaceVenezuela's Nicolas Maduro meeting with Iran's Hassan Rouhani this weekend.

Good morning! Here are the major stories you need to know in markets today.

Japan's Budget For The Next Year Will Be Its Biggest Ever. Japan's government will propose a record budget for next fiscal year of more than $800 billion (£530 million) but cut borrowing for a third year, government officials said on Sunday, as Prime Minister Shinzo Abe seeks to maintain growth while curbing the heaviest debt burden in the industrial world.

VW Has A Turnaround Plan For US Markets. VW has struggled in North American markets in recent years, but the firm now reportedly plans to triple its product range in the fast-growing crossover segment and refresh models more quickly. The campaign will include a five-seat variant of the forthcoming mid-size sport-utility vehicle (SUV), a concept version of which VW will unveil on Monday at the Detroit auto show, the sources said.

Spain's Radical Left-Wing Podemos Is Back In the Lead. A poll published on Sunday showed that leftist upstart Podemos was again in the lead to win Spain's next general election. The Metroscopia poll of 1000 people, published in the left-leaning newspaper El Pais, showed one-year-old Podemos (We Can) would take 28.2 percent of the vote, up from 25 percent in December when it fell back to second place.

Asian Markets Are Mixed. Japan's closed for a national holiday on Monday, and Hong Kong's Hang Seng is currently up 0.23%, but the Shanghai Composite Index is down 1.66%.

Venezuela's President Has Been Visiting Other OPEC Nations After His Trip To China. Maduro held talks in OPEC's leading oil producer Saudi Arabia on Sunday, officials said, after visiting Iran and before he headed to Algeria for further dialogue about low world crude prices. The already-unhealthy Venezuelan economy is being hit hard by falling oil prices.

RBS May Retreat From Asia. Royal Bank of Scotland is likely to put most of its operation in Asia up for sale, according to Bloomberg, citing people familiar with internal discussions. CEO Ross McEwan is holding meetings in Singapore to discuss the progression.

Narendra Modi Just Promised A "Quantum Leap" For India's Economy. Prime Minister Narendra Modi showcased his fiefdom of Gujarat Sunday to political and business leaders, trying to demonstrate how the thriving western state can be the role model for India's economic transformation.

It's A Quiet Day For Data. There's practically no economic data coming out today, until 3 p.m. GMT (10 a.m. ET) when the US releases its Labour Market Conditions Index for December, which should give an extra hint at the health of the American workforce. 

Greece's Centre-Right Prime Minister Is Vowing To Cut Taxes And Roll Back Austerity. Antonis Samaras, leader of New Democracy, is changing course on the country's fiscal austerity and making pledges in an effort to win the country's general election on 25 January. New Democracy is currently in second place, behind radical leftists Syriza. 

Pharma Giant Shire Bought US Biotech Firm NPS For $5.2 Billion (£3.45 Billion). It's Shire's biggest acquisition yet, as the Dublin-based drug-maker strengthens its position in the lucrative field of medicines for rare diseases.