The European session opened up particularly poorly, with markets playing catch up to the rout seen on Wall Street the night before.
The FTSE (-2.3%) was the hardest hit in the eurozone, closely followed by the DAX (-2.3%) and then the CAC (-1.9%).
US markets also opened poorly and at one stage the Dow was down as much as 160 points before rallying back strongly to close in positive territory.
At the close the Dow stood 30 points stronger (+0.3%) whilst the broader S&P added 0.5% and the Nasdaq 0.9%.
The positive close snapped an eight-session slump for US markets, a move which saw the S&P 500 move to the cheapest price-earnings ratio in more than a year.
Speculation that the Fed will embark on a third round of quantitative easing to stave off a recession was attributed as the driving factor in the turnaround last night.
The Canadian dollar was a big loser last night, falling to its lowest level in three-weeks against the greenback.
Elsewhere, the franc tumbled against all of its most-traded counterparts overnight after the Swiss National Bank unexpectedly cut interest rates to weaken the currency and support the Swiss economy.
Oil slid to a five-week low following government data showing an increase in stockpiles, whilst gold printed yet another record high before settling at $1675.90 an ounce.
There is no major local data due out for today’s session.