South Korea’s Kospi is leading the losses as it dropped 8%, Hong Kong’s Hang Seng index fell 4%, the Nikkei 225 in Japan erased early gains and trading lower by 1% and the Shanghai Composite down 2%.
South Korean stock exchanges hit circuit breakers and trading halted for 20 minutes after it falls 8%.
The European Central Bank announced on Wednesday a new Pandemic Emergency Purchase Programme that will be able to use €750 bn (~$821 bn) to purchase securities to help support the European economy.
The Dow Jones Industrial Average dropped 1,338.46 points to close at 19,898.92 and this was the index’s first close below 20,000 since February 2017. The S&P 500 fell 5.2% to 2,398.10 and the Nasdaq Composite dropped 4.7% to close at 6,989.84.