Australian shares fell 2% on Friday to hit a seven-week trough, as investors dumped equities across the board on concerns that aggressive central bank policies around the globe to contain broadening inflation pressures could hurt economic growth.

The S&P/ASX 200 index fell 2% to 7,215.5 by 0018 GMT, hitting its lowest since March 17. The benchmark was set for a third straight weekly drop and also its worst week since October 2020.

Global investor sentiment has been hit by worries about fast-paced interest rate hikes at a time of China’s COVID-19 lockdowns and the war in Ukraine, to slow surging inflation.

Technology stocks tumbled 3.8% in Australia, leading the losses after the technology-heavy Nasdaq dropped 5% overnight.

ASX-listed shares of Block Inc dropped 1.8%. Financials skidded 1.8%, with the “big four” banks down between 0.6% and 1.5%.

Macquarie Group declined 5.6% after it warned of significantly lower income from its commodities trading arm and forecast transaction activity at its capital business to ease from record levels in the near term.

Australia shares rise on commodities, tech boost after Fed softens stance

Gold stocks fell nearly 3% after bullion prices retreated overnight.

Newcrest Mining, the country’s largest gold miner, was down 2.1%. Energy stocks lost 1.6%, even as oil prices firmed on supply concerns after the European Union (EU) laid out plans for new sanctions against Russia including an embargo on crude.

Heavyweights Woodside Petroleum and Santos slid about 1% each. Miners dropped 2.7%, with iron ore behemoths BHP, Rio Tinto and Fortescue shedding more than 2% each.

New Zealand’s benchmark S&P/NZX 50 index was down 1.3% at 11,597.37.