NEW YORK - US stocks plunged as the country moves closer to punitive military action against Syria for its alleged use of chemical weapons in a devastating attack on civilians. Warnings stepped up from the United States, France and Britain that Damascus would be held accountable for the August 21 attack, sparking market worries of a possible broader conflict. At the closing bell on Tuesday, the Dow Jones Industrial Average was down 170.56 points (1.14 per cent) at 14,775.90. The broader S&P 500 index fell 26.30 (1.59 per cent) to 1,630.48, while the tech-heavy Nasdaq Composite lost 79.05 (2.16 per cent) at 3,578.52. LONDON - Most European equities fell sharply as investors ignored solid data from Germany and eyed possible military intervention in Syria, sending the price of safe-haven gold soaring. While London's FTSE 100 index slid 0.79 per cent to 6.440.97 points, other markets were down more than two per cent. Frankfurt's DAX 30 fell 2.28 per cent to 8,242.56 points, the CAC 40 in Paris dropped 2.42 per cent to 3,968 points. Milan dropped 2.34 per cent, Madrid fell 2.96 per cent, Athens plunged 4.08 per cent and Istanbul slumped 4.73 per cent. The European single currency rose to $US1.3391, from $US1.3369 late in New York on Monday. HONG KONG - Asian markets were mostly lower as fears of military intervention in Syria added to concerns over when the US Federal Reserve would taper a massive stimulus program. US Secretary of State John Kerry warned Syria it would face action over the "moral obscenity" of a chemical weapons attack, as expectations grow that Washington and its allies are preparing to launch a punitive missile strike. Tokyo on Tuesday ended down 0.69 per cent and Seoul closed 0.11 per cent lower. But Sydney gained 0.11 per cent on profit-taking, following early losses after some poor earnings reports - including a mammoth loss of $A860 million for Billabong. Hong Kong closed down 0.59 per cent while Shanghai was up 0.34 per cent. Shares in PetroChina, China's largest oil company by capacity, were suspended in Hong Kong and Shanghai pending an announcement related to unspecified "major events." WELLINGTON - The NZX 50 Index declined 3.644 points, or 0.1 per cent, to 4,542.025 on Tuesday.