Look at these numbers……..

Market declines in Europe and New York on Thursday sparked a similar rout in Asia on Friday. Stocks in Japan, Hong Kong and Australia dropped by more than 2.5 percent, while the benchmark Kospi index in South Korea fell 4.27 percent, the biggest decline since June 2004.

Most major European markets were down by 3 percent or more Friday. U.S. stock market indicators opened down about 1 percent on Friday.

Early Friday, the Federal Reserve announced a three-day repurchase agreement, or “repo,” to inject liquidity into the market, the second day it has taken such an action. The bank said early Friday that it would accept $19 billion in mortgage-backed securities. The Fed said it would provide “reserves as necessary” and would do all it could to “facilitate the orderly functioning of financial markets.”

The move occurred after the federal funds rate, the rate banks charge each other for overnight loans, ticked above 6 percent again Friday - well above the central bank’s target of 5.25 percent. Speculation also grew that the Federal Reserve would consider an emergency cut in interest rates.

in a short statement, said it will provide “reserves as necessary” to help the markets safely make their way. The central bank did not provide details but said it would do all it can to “facilitate the orderly functioning of financial markets.”

The Bank of Japan said Friday that it had added $8.4 billion, to money markets, while the Reserve Bank of Australia said it had lent banks 4.95 billion Australian dollars, or $4.2 billion, its biggest such injection of liquidity since 2003.

The European Central Bank injected another $83.4 billion, into the banking system Friday, after providing $95 billion the day before. The U.S. Federal Reserve was also expected to inject additional liquidity into markets Friday.

More at the International Herald Tribune