STORY: Global markets dived and oil prices rose on Thursday (February 24) as Russia launched an invasion of Ukraine.

Investors worried that a major war in Europe could hurt the economic recovery from the health crisis and disrupt global energy supplies.

Markets in Europe opened with the STOXX 600 index falling to its lowest level since May last year - 10% down from January's high.

The German DAX felt most of that selling pressure due to the country's reliance on Russian energy supplies.

The index was down just under 4% in early trade.

In Russia itself, the MOEX stock index slumped over 40% after an initial halt to trading was lifted.

The rouble fell 7% to an unprecedented record low, while the euro also dropped to a multi-year bottom.

That as investors sold-off the currencies and moved into safe havens.

Gold, government bonds and the Swiss franc were among the winners.

Commodity investors also saw turbulence.

Oil prices broke above $100 a barrel for the first time since 2014 - with international benchmark Brent crude reaching just under $104 after the attack began.

Asian investors also felt the pressure.

The MSCI's broadest index of Asia-Pacific shares outside Japan fell more than 3% - to its lowest level since November 2020.

Tokyo's Nikkei closed almost 2% down.

Markets will now watch to see how the United States and its allies react.

U.S. President Joe Biden said the country would impose severe sanctions on Russia.

Europe's leaders also said they would freeze assets and shut Russian banks out of its financial markets.