On the news, crude oil futures plunged by around five percent, recovering slightly in the hour that followed. BP said coronavirus is having a lasting impact on its business, alongside the global economy.

Its ong-term price assumptions are down by around 30 percent.

Meanwhile, global stocks took a brutal hit after a rise in outbreaks in the world's biggest economies raised concerns of a second wave of the coronavirus.

Investors are digesting news from the weekend that the UK Government is considering relaxing social distancing measures. Rishi Sunak said yesterday that the government wanted consumers to "shop with confidence" when non-essential retailers are opened later on today. The move could see the two-metre rule halved.

Public health officials have indicated they would be cautious about reopening shops.

Sunak told Sky News yesterday: “Ultimately, it is for ministers. We are the people who are elected to make decisions in this country. People should hold us responsible and accountable for making those decisions. I think that people are comforted and have confidence in those decisions if they know that we are taking advice from our scientists.”

Robert Carnell, head of research for Asia-Pacific at ING, told FT: “At a global level, this talk of second waves is misplaced, as daily new cases have been rising steadily since early May.

“Also, if globally, we are still in wave one, then it is possible that without a vaccine, the big wave is still lying out there somewhere waiting to hit.”

European markets opened more than two percent down across the board. The FTSE moved 2.2 percent lower, while Germany's DAX sank 2.6 percent.

New coronavirus infections in China have raised the prospect of fresh lockdowns. When the country first went into lockdown markets around the world faced a punishing selloff.

The pound remained steady against the euro, as prime minister Boris Johnson prepared for his showdown with Brussels.