European markets lost ground. In London, the Financial Times-Stock Exchange 100 index ended down 36.60 points, or 0.89%, to 4,094.40. The Bank of England cut its forecasts for growth and inflation in Europe's second-biggest economy.
In France, the CAC 40 fell 14.28 points, or 0.4%, to 3,270.51.
And in Germany, the DAX Index was down 103.10 points, or 2.89%, to 3,465.54. In economic news, German unemployment rose to a three-year high of 9.9% in July as a recovery in Europe's largest economy lost steam. Meanwhile, factory orders skidded 3.2% on declining foreign demand.
In Asia, the markets finished higher. In Japan, the Nikkei shot higher by 333.38 points, or 3.51%, to close at 9,834.40. Tokyo stocks gained momentum as U.S. equities showed sharp rebounds on the back of growing expectations that the Fed will again ease interest rates. Short-covering and bargain-hunting also supported the market after Japan's major equity indices hit six-month lows yesterday.
In Hong Kong, the market jumped 277.05 points, or 2.86%, to close at 9,977.74.