Tesla plunges 12pc as tech sell-off sinks Nasdaq, ASX to follow Wall Street lower

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Tesla plunges 12pc as tech sell-off sinks Nasdaq, ASX to follow Wall Street lower
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Australian shares are expected to fall sharply, after a technology sell-off on Wall Street intensified in the final hour over fears of a slowing economy and aggressive interest rate hikes from the US Federal Reserve.

The Australian dollar fell to 71.3 US cents, its weakest level since mid-February.

It comes a day after Twitter’s board approved billionaire Elon Musks's $61.4 billion takeover of the social media company, which suggests it may partially reflect investors' worries about the deal. Previously -prized growth stocks like Tesla have been hammered in recent weeks as investors fret about the impact of higher interest rates on their future earnings.China's COVID-19-led lockdown and an aggressive pivot by major central banks to fight inflation have overshadowed what has been a better-than-expected quarterly earnings season so far.

The S&P 500 lost 2.8 per cent, to finish at 4,176, while the Dow Jones index fell 2.4 per cent to 33,241.

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