Asian Markets Tumble After U.S. Stocks Suffer Worst One-day Drop Since February

© Reuters. Asian markets tumbled in morning trade on Thursday – Asian markets fell sharply in morning trade on Thursday, with stocks in China and Japan plunging more than 4% after U.S. stocks suffered their worst one-day drops in eight months overnight. Fears of rising interest rates and a meltdown in technology shares were cited as catalysts for the selling.

Overnight, the dropped by 831.83 points to 25,598.74, the fell 4 percent to 7,422.05. The dropped 3.3 percent to 2,785.68. Treasuries and the Japanese yen jump amid demand for safe-haven assets.

Luxury stocks underperformed as LVMH confirmed on Wednesday that China is stepping up checks for undeclared imports.

In Asia, China’s and the SZSE Component slumped 4.4% and 5.2% respectively by 10:01PM ET (02:01 GMT). Hong Kong’s was also down 3.7%.

U.S. President Donald Trump’s comments also weighed on markets sentiments as he continued his attacks on the Federal Reserve, blaming the central bank’s policy decision for Wednesday’s sharp market decline.

“I think the Fed is making a mistake. They are so tight. I think the Fed has gone crazy,” the president said

“Actually, it’s a correction that we’ve been waiting for for a long time, but I really disagree with what the Fed is doing,” the President added.

The central bank hiked rates three times this year and traders widely expect it to raise it once more by the end of 2018.

“Equity markets are locked in a sharp sell-off, with concern around how far yields will rise, warnings from the IMF about financial stability risks and continued trade tension all driving uncertainty,” summed up analysts at ANZ.

Elsewhere, 225 plunged 4.2%, and South Korea’s slid 3.8%.

Down under, Australia’s was also down 2.4%.

Earlier this week, the IMF downgraded global economic growth for the first time

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