Wall Street erased early gains to fall 1% today, as the state of New York ordered all non-essential workers to stay home to curtail the spread of coronavirus.
The pandemic that has fueled the worst monthly rout in US equities in three decades.
California had earlier asked 40 million people to stay indoors as the US death toll from the outbreak topped 200 people.
New York state also pleaded for more medical personnel and supplies to treat the virus cases that could overwhelm hospitals.
The Dow Jones and Nasdaq had eked out gains in early trading as global policymakers turned on all the taps to prop up financial markets after four weeks of steep declines ended a record 11-year bull run for Wall Street.
Investors are now counting on further easing in the next few days, as the Senate mulls a $1 trillion package that would include direct financial help for Americans.
European stocks surged more than 5% at one stage today as investors welcomed vast government and central bank measures aimed at cushioning the economic blow from the coronavirus outbreak.
The Paris CAC 40 finished the day 5% higher, while the Frankfurt DAX had gained 3.7%.
Having made gains earlier, London's FTSE closed with a marginal gain of 0.1%.
Shares in Dublin were also higher today, adding 3.8% with shares in the banking sector and travel and tourism making back some of their recent losses.
European bank stocks jumped from their lowest in three decades after the Bank of England bank joined its peers in suspending stress tests for 2020.
But the STOXX 600 is on track for its worst month since October 1987 as the rapidly spreading coronavirus forced several nations to impose a lockdown.
Italian shares lagged other major stock markets as the death toll from Covid-19 in the country overtook that of China, where the disease first emerged late last year.
Earlier in Asian trade, stock markets in Hong Kong, Mumbai and Kuala Lumpur all surged more than 5%, Seoul and Mumbai piled on more than 7%, while Taipei rallied more than 6%.
Shares in Manila rose 3.4%, while Shanghai, Singapore and Jakarta put on more than 1%, with Wellington 1%t higher and Sydney up 0.7%.
The Tokyo markets are closed today for a national holiday.
