U.S. stocks tumbled on Friday, dipping to a 12-year low at one point, on fears that the government may be forced to nationalize some big banks.

The Dow Jones Industrial Average fell 100 points, or one-point-three percent, to close at 7,366.

The NASDAQ Composite Index ended down zero-point-one percent and the Standard and Poor’s 500 Index dipped one-point-one percent.

European stocks also plunged to their lowest levels in six years over concerns that the economic slowdown will continue for an extended period of time.

Meanwhile, gold traded at its highest prices in a year, over a thousand dollars per ounce.