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UPDATE: Asian stock markets slump after Wall Street plunges on tech stock rout

Asian stock markets closed deep in the red Oct. 11 following the worst single-day decline in Wall Street in eight months led by a sell-off in technology stocks and concerns on rising bond yields and trade uncertainty.

The Shanghai SE Composite index finished 5.22% lower, while benchmark indexes in Japan and Hong Kong also ended the day sharply down, with the Nikkei 225 declining 3.89% and the Hang Seng Index sliding 3.54%. MSCI's broadest index of Asia-Pacific shares outside Japan declined by 3.86% as of 4:42 p.m. Hong Kong time.

This followed the sharpest fall in the S&P 500 since February, finishing Oct. 10 down 3.29%, while the Nasdaq Composite index ended 4.08% lower. Technology shares led losses amid worries of a global demand slump.

"I am doubtful that this turns into a more lasting and sizeable fall," said Robert Carnell, chief economist and head of research for Asia-Pacific at ING, in a note. "We may not be on the verge of a precipitous drop, but it is probably optimistic to believe this will be a V-shaped bounce."

Carnell also cited the resilience of Asian currencies amid the market shock and the dollar's weakness against other major currencies as a sign that a full-blown selloff is not likely in the cards.

The dollar was down 0.26% against the euro as of 4:41 a.m. ET, while edging up 0.03% against the yen and inching up 0.01% against the pound, after U.S. President Donald Trump told reporters that he disagrees with what the Federal Reserve is doing and that he thinks the central bank has "gone crazy."