Australian shares fell on Friday by their most in four months, after a sharp sell-off in technology stocks sent Wall Street's main indexes to their worst session since June.
The S&P/ASX 200 index <.AXJO> settled 3.1% lower at 5,925.5 in broad-based selling. For the week, the benchmark fell 2.4%, marking its biggest weekly decline since June 12.
Overnight, the tech-heavy Nasdaq Composite <.IXIC> slumped 5%, with tech giants Apple <AAPL.O> and Microsoft <MSFT.O> weighing the most. [.N]
The U.S. tech sector that has led this amazing rally since March-lows finally came a little bit unstuck, said Damian Rooney, director of equity sales at Perth-based investment house Argonaut.
"I think there was a certain inevitability about it and I wouldn't be surprised to see some more," Rooney said.
Adding to woes, Australia's Victoria state reported a record 59 deaths on Friday, including previously unrecorded deaths in aged care facilities, while authorities suggested restrictions in the state may remain even after the current six-week lockdown comes to an end.
Investors are now awaiting U.S. payrolls figures, due at 1230 GMT, which could trigger further sell-offs if the numbers miss economists' expectations that about 14 million jobs were created in August.
Tech stocks <.AXIJ> were the hardest hit on the Australian benchmark, falling 5.6% in their biggest daily loss since March 23. Buy-now-pay-later firm Afterpay <APT.AX> plunged 6.7%, while Xero <XRO.AX> eased 5.7%.
BHP Group <BHP.AX> eased 3.8% and dragged miners <.AXMM> to a near two-month low as iron ore futures in China snapped a six-session rally. [IRONORE/]
Financials <.AXFJ> and healthcare stocks <.AXHJ> also declined 3% and 3.8%, respectively.
New Zealand's benchmark S&P/NZX 50 index <.NZ50> fell 1.9% to 11,824.31, after Prime Minister Jacinda Ardern said coronavirus curbs would stay in place until at least mid-September.
(Reporting by Arpit Nayak in Bengaluru; Editing by Subhranshu Sahu)
