NEW YORK, New York - U.S. and global stocks tumbled Wednesday as lawmakers continued to navigate their way through Congress of the debt ceiling bill. At the same time, the European Central Bank warned of the potential of a financial shock in the aftermath of the U.S. regional banking crisis and the collapse of U.S. banking giant Credit Suisse.

"Financial markets could face a sharp downturn in the event of any further shocks to the global economy,: European Central Bank Vice-President Luis de Guindos told CNBC Wednesday.

The Nasdaq Composite dived 82.14 points or 0.63 percent to close Wednesday at 12,935.29.

The Dow Jones industrial average declined 134.51 points or 0.41 percent to 32,908.27.

The Standard and Poor's 500 retreated 25.69 points or 0.61 percent to 4,179.83.

The NYSE Composite (DJ) index closed at 14,887.14, down 107.50 points or 0.72 percent.

Similarly, the NYSE AMEX COMPOSITE INDEX, represented by ^XAX, experienced a minor dip of 9.34 points or 0.24 percent, finishing the day Wednesday at 3,871.21.

The Russell 2000 index (^RUT) in the United States dropped by 17.64 points or 1.00 percent, reaching a closing value of 1,749.65.

The foreign exchange markets experienced a mixed day Wednesday, with various currency pairings showing contrasting movements. The euro against the U.S. dollar experienced a modest decline of 0.46 percent as the Eurozone's economic recovery faced headwinds from rising inflation and concerns over global growth. On the other hand, the Japanese Yen gained ground against the dollar, with a 0.34 percent increase, as investors sought safe-haven assets amidst geopolitical uncertainties.

The greenback weakened slightly against the Canadian Dollar, shedding 0.23 percent, while it strengthened against the Swiss Franc, rising by 0.53 percent. The British Pound managed to gain against the dollar, registering a 0.16 percent increase.

In the antipodean currencies, the Australian Dollar experienced a decline of 0.22 percent against the dollar, while the New Zealand Dollar slipped by a hefty 0.40 percent.

Here are the latest exchange rates for select currency pairs approaching the U.S. close Wednesday:

• Euro/US Dollar (EUR/USD) settled near the end of the day at 1.0684, reflecting a decrease of 0.00495 or 0.46 percent.
• U.S. Dollar/Japanese Yen (USD/JPY) concluded at 139.31, marking a decline of 0.469 or 0.34 percent.
• U.S. Dollar/Canadian Dollar (USD/CAD) finished around 1.3570, showing a decrease of 0.00311 or 0.23 percent.
• British Pound/U.S. Dollar (GBP/USD) finished at 1.2432, indicating an increase of 0.00199 or 0.16 percent.
• U.S. Dollar/Swiss Franc (USD/CHF) concluded around 0.9105, reflecting an uptick of 0.00481 or 0.53 percent.
• Australian Dollar/U.S. Dollar (AUD/USD) approached the close around 0.6502, marking a decrease of 0.00141 or 0.22 percent.
• New Zealand Dollar/U.S. Dollar (NZD/USD) ended the day at about 0.6019, showing a decline of 0.00242 or 0.40 percent.

In a day marked by widespread declines, global stock markets closed with significant losses on Wednesday. Investors faced concerns over economic growth, rising inflation, and uncertainties surrounding geopolitical tensions.

Starting with the North American markets, the S&P/TSX Composite index in Toronto concluded the day at 19,572.24, recording a decrease of 167.46 points or 0.85 percent. The index saw a trading volume of 383.42 million shares, indicating cautious investor sentiment.

Moving on to other international markets, Brazil's IBOVESPA, represented by ^BVSP, faced a decline of 631.96 points or 0.58 percent, closing at 108,335.07. The Mexican IPC MEXICO index (^MXX) also experienced a decrease of 587.70 points or 1.10 percent, reaching a closing value of 52,754.15. The IPC MEXICO index saw a trading volume of 1.383 billion shares, indicating substantial market activity.

However, it wasn't all gloom in the market. The S&P/CLX IPSA index (^IPSA) in Chile remained unchanged, concluding the day at 5,058.88 points, with no change in percentage.

The following are Wednesday's closing figures for other key world stock market indices:

• London's FTSE 100 (^FTSE) closed at 7,446.14, down 75.93 points or 1.01 percent.
• The German DAX PERFORMANCE-INDEX (^GDAXI) concluded at 15,664.02, showing a decline of 244.89 points or 1.54 percent.
• In Paris, France, the CAC 40 (^FCHI) ended at 7,098.70, down 111.05 points or 1.54 percent.
• In Asia, Japan's Nikkei 225 (^N225) finished at 30,887.88, marking a decrease of 440.28 points or 1.41 percent.
• The HANG SENG INDEX (^HSI) in Hong Kong closed at 18,234.27, down 361.51 points or 1.94 percent.
• In Shanghai, the SSE Composite Index (000001.SS) concluded at 3,204.56, showing a decrease of 19.65 points or 0.61 percent.
• The Shenzhen Index (399001.SZ) in China finished at 10,793.85, down 75.70 points or 0.70 percent.
• In Australia, the S&P/ASX 200 (^AXJO) closed at 7,091.30, marking a decline of 118.00 points or 1.64 percent.
• The ESTX 50 PR.EUR (^STOXX50E) in Europe concluded at 4,218.04, down 73.54 points or 1.71 percent.
• The Euronext 100 Index (^N100) finished at 1,318.32, showing a decrease of 19.82 points or 1.48 percent.
• In Brussels, Belgium, the BEL 20 (^BFX) closed at 3,536.79, down 46.11 points or 1.29 percent.
• The MOEX Russia Index (IMOEX.ME) concluded at 2,222.51, marking a decrease of 4.14 points or 0.19 percent.
• In Singapore, the STI Index (^STI) finished at 3,158.80, down 28.76 points or 0.90 percent.
• The Australian ALL ORDINARIES (^AORD) closed at 7,273.50, showing a decline of 113.80 points or 1.54 percent.
• In Mumbai, India, the S&P BSE SENSEX (^BSESN) concluded at 62,622.24, down 346.89 points or 0.55 percent.
• The NIFTY 50 index (^NSEI) in India dropped by 99.45 points or 0.53 percent, finishing at 18,534.40.
• Indonesia's IDX COMPOSITE (^JKSE) finished at 6,633.26, showing a decrease of 3.16 points or 0.05 percent.
• The FTSE Bursa Malaysia KLCI (^KLSE) closed at 1,387.12, down 9.79 points or 0.70 percent.
• In New Zealand, the S&P/NZX 50 INDEX GROSS (GROSS) (^NZ50) concluded at 11,813.01, marking a decrease of 65.70 points or 0.55 percent.
• South Korea's KOSPI Composite Index (^KS11) finished at 2,577.12, down 8.40 points or 0.32 percent.
• In Taipei, Taiwan, the SEC weighted index (^TWII) closed at 16,578.96, showing a decrease of 43.78 points or 0.26 percent.
• Israel's TA-125 concluded at 1,747.02, down 13.52 points or 0.77
• South Africa's EGX 30 Price Return Index (^CASE30) experienced a minor decrease of 38.80 points or 0.22 percent, reaching a closing value of 17,495.80. The index saw a trading volume of 269.804 million shares.

In terms of market volatility, the CBOE Volatility Index (^VIX), also known as the "fear gauge," saw an increase of 0.35 points or 2.00 percent, closing at 17.81.