Global markets plunge on Greek referendum

Equity markets across the globe on Tuesday came under strong selling pressure on worries that a planned Greek referendum could derail a plan reached last week to resolve Europe's debt crisis.

European leaders last week had agreed to a deal to defuse the continent's debt crisis but financial markets were shocked after Greek prime minister's surprise move to call a referendum on Greece's latest rescue package.

If Greek voters reject the deal, Europe could face a potentially devastating Greek default on its debt.

On Wall Street, the Dow Jones Industrial Average was down over 2 per cent in early trade while most of the European markets were in deep red.