U.S. futures dropped more than 4 per cent and Australia’s share benchmark initially plunged 8.5 per cent as work on more stimulus for the U.S.
economy hit snags in the U.S. Senate. Shares dropped more than 4 per cent in Hong Kong and 5 per cent in South Korea. The Shanghai Composite index lost 2.6 per cent.
However, Japan’s Nikkei 225 index held steady, gaining 0.5 per cent in early trading Monday. Top-level negotiations between U.S.
Congress and the White House continued after the Senate voted against advancing the $2 trillion economic rescue package. The Democrats said the bill was tilted too much toward aiding corporations and would not do enough to help individuals and healthcare providers.