Rampant selling in Asia signaled the start of a Global plunge in reaction to the Friday's first-ever downgrade of the U.S credit ratings by Standard & Poor's. In Monday trading, Europe's stock exchanges plummeted after a stronger-than-expected opening. Markets in France, Germany, South Korea, Australia, and Hong Kong also dipped. Along with the U.S. debt downgrade, investors worldwide are concerned about the on-going debt crisis in European nations.
Financial representatives of the G7 -- United Kingdom, France, Germany, Italy, Japan, Canada and the United States -- said they are taking "all necessary measures to support financial stability and growth in a spirit of close cooperation and confidence." The European Central Bank also tried to allay market panic on Sunday by issuing a statement that it would institute a bond-purchase program amid announcements by Italy and Spain regarding actions designed to reduce their deficits.
