Wall Street faces another steep dive on Wednesday as stimulus measures by governments in response to the global coronavirus crisis have failed to impress investors.
The Dow Jones Industrial Average plunged over 1,300 points right after the opening bell. The S&P 500 index and the Nasdaq Composite are losing over four percent.
Earlier on Wednesday, shares trading on the London, Frankfurt, and Paris bourses faced another day of huge losses, with key indices falling between five and six percent.
Stocks in Australia led the losses in Asia Pacific with the country’s S&P/ASX 200 index falling more than six percent. Hong Kong’s Hang Seng index dropped more than four percent. China’s Shanghai Composite and Japan’s Nikkei 225 were both down, losing more than one and a half percent.
Global markets continue to plunge despite stimulus measures announced by central banks to mitigate the impact of the coronavirus outbreak. In its latest effort to support the economy, the US Federal Reserve announced two emergency lending programs that were last deployed in response to the 2008 financial crisis. The Fed plans to unfreeze up to $1 trillion to help businesses get short-term loans to pay workers and finance inventories.