Shanghai's benchmark index closed down by almost 1.9%, marking its worst one day fall since September.

Hong Kong's Hang Seng and other indexes around the region also closed lower.

Investors there spooked by more signs of rising US-China tensions, that after Washington published a list of Chinese and Russian firms it says have military ties that restrict them from buying some US goods.

Asian investors also still digesting the growing concern over a new virus strain, but it was a different story when Europe opened for business, Index is there soared higher from the open.

The pan European stocks 600 was up over 1% in early trade that after health worries sparked its biggest one-day drop in nearly two months on Monday, European investors were buoyed by the news of a big new stimulus plan in the U.S.

Lawmakers there finally agreed a package of measures totaling almost $900 billion.

The EU's moved to approve the Pfizer vaccine, also helping with airline stocks.

Among the gainers, Air France KLM gained over 5% in early trade with easyJet and British Airways owner I E G.

Also on the up.

After an initial dip, even London's footsie index clawed its way.

Higher sentiment there remains fragile, however, with the country almost cut off by virus related travel bands.

Some hope Tuesday, though, with ministers saying they could strike a deal with France to resume freight shipments.