WORLD MARKETS

Pacific Rim

Japan: The Tokyo Stock Exchange fell to its lowest level in nearly 22 months. The Nikkei Stock Average lost 946.46 points, or 3.31%, to end at 27,653.07. Since Iraq invaded Kuwait on Thursday, the index has dropped 11.5%. “The market looks like the Kuwaiti army,” said one trader. “It’s got tank tracks all over it.”

Hong Kong: An about-turn in sentiment brought buyers back into the exchange, and the Hang Seng index closed just 9.29 points lower after falling more than 6% in the first few hectic minutes of trade.

Australia: After sharp losses in the morning, the All Ordinaries index rebounded to end down just 0.7 points at 1,547.6.

London

After a big jump in morning trading, British shares drifted toward the close but still managed a gain of about 15 points, or 0.7%.

Oil

New York: On the Mercantile Exchange, the cost of benchmark West Texas Intermediate retreated 75 cents a barrel to $27.35 by midday. The contract had vaulted over $28 a barrel Monday, the highest level in five years.

London: The world benchmark crude Brent Blend rose as high as $28.65 a barrel, up nearly $2 from Monday’s close. It was the highest since November, 1985.