Stocks in Asia followed the terrible day on Wall Street down as the MSCI Asia Pacific Index fell the most on record. Continued concerns over the global economy sinking into a recession appear to be weighing heavily on investors’ minds.Standard & Poor’s noted that South Korean banks may be unable to refinance debt in coming months, which also sent a negative signal to the market.

The MSCI’s Asian index fell 8.5 percent, marking the steepest decline on record.Data on the index began to be compiled in December 1987. In, the Nikkei 225 Stock Average dove 11 percent as the index lost the most in a single day since the crash of 1987.South Korea's Kospi Index fell 9.4 percent, the most since September 2001.

Natural resource supplies continued their trend downward as declining commodities prices dragged BHP Billiton Ltd. to a 13 percent loss on the day.An expected global consumer slowdown dragged down the shares of Sony and Sharp as both major consumer electronics manufacturers fell more than 10 percent.Toyota Motor Corporation, the second biggest automaker in the world, fell just over 9 percent.The moves down follow reports that U.S. consumer purchases fell 1.2 percent in September, a trend analysts believe will continue downward.It was the third straight monthly decline, marking the first time on record of three consecutive negative readings in the number.Investors fear that the global financial crisis will cause a steeper than expected slowdown in consumer spending, reducing earnings outlooks for companies and slowing growth worldwide.

Japan’s Prime Minister Taro Aso remarked that the U.S. bank rescue package is “insufficient” and explains why “markets are falling.” The statement was made while Aso was addressing Japanese lawmakers in parliament. The Nikkei’s decline of more than 10 percent marked the third time in just six trading days that the index has fallen more than 9 percent in a single day.There was a 14 percent jump on October 14.

Asian airline stocks were hit hard on the day even though oil slipped significantly in recent sessions.Air, China’s largest international airline, fell 13 percent as it projected a loss over the next nine months. Singapore Airlines fell 4 percent after reporting that it flew fewer passengers than expected for the month of September.