Asian equities slumped as investors worried about elevated inflation caused by rising energy prices and the likelihood of a further Chinese crackdown on the private sector.
Treasury yields were stable.
In Japan, Hong Kong, and China, stocks fell.
A report suggesting that Beijing is broadening its surveillance of the private sector by looking into links to state banks dampened sentiment.
With the risk of a delayed recovery from the pandemic loomed over markets, US futures fell after falls in the S&P 500 and Nasdaq 100.
Oil prices remained around $80 per barrel despite a power crisis across Europe and Asia. Thermal coal futures in China hit a new high for the second day in a row. Aluminum supplies are being squeezed as a result of the energy crisis, with prices reaching a 13-year high. Other industrial metals have also risen in value, adding to inflationary pressures.
The 10-year Treasury yield in the US was little changed when the cash market returned after a vacation.
Besides inflation, investors must also contend with a potential drop in federal reserve bond purchases.
The dollar held an advance.