U.S. stocks opened sharply lower following steep market declines all around the world as concerns about global economic weakness intensified.

Bank stocks were hit hard Thursday as investors worried that interest rates in the U.S. and elsewhere would remain low. Citigroup and Bank of America both dropped 5 percent. Oil prices fell below $27 for the second time this year and dragged down shares of energy companies.

The Dow Jones industrial average fell 245 points, or 1.5 percent, to 15,669 as of 9:35 a.m. Eastern time.

The Standard & Poor's 500 index fell 26 points, or 1.44 percent, to 1,825. The Nasdaq composite fell 56 points, or 1.3 percent, to 4,226.

Bond prices rose. The yield on the 10-year Treasury note fell to 1.60 percent.