The Standard & Poor’s 500 Index retreated the most since April 2014, wiping out a gain for the year, as global equities sold off amid concern over fallout from the Greek financial crisis.

The S&P 500 Index sank 2.1 percent to 2,057.71 at 4 p.m. in New York, falling toward its average price for the past 200 days. The Dow lost 348.66 points, or 1.9 percent, to 17,598.02 and erased its gain for the year. The Nasdaq Composite Index fell 2.4 percent, the most since April 2014. The Chicago Board Options Exchange Volatility Index surged 37 percent, poised for its biggest increase since April 2013.

Greece closed its banks and imposed capital controls, a measure that will deepen the country’s recession and risk driving it toward an exit from the euro. Talks over bailout aid with international creditors collapsed late Friday, as Prime Minister Alexis Tsipras unexpectedly called a July 5 referendum on the austerity demanded by creditors. The European Central Bank froze the level of emergency aid available to Greek lenders Sunday.

Source : Bloomberg