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“What’s driving the market today is concern around the global growth outlook becoming a bit more prominent. Just concerns that we are heading for a recession next year,” Craig said.

Other notable winner was nickel miner Chalice, which leapt 13.1 per cent following an ASX announcement of promising new sulphide mineralisation at the Hooley prospect.

Air New Zealand also took off, rising 1.4 per cent following the airline’s announcement this morning that it was lifting its profit forecast for the first half of the 2023 financial year by almost $100 million as demand for flights continues to outnumber seats available.

Meanwhile, mining company Downer EDI Limited shares plummeted 20.4 per cent after the company announced that accounting irregularities had led to an overstatement in earnings by between $30 million and $40 million, and slashed its profit forecast for the 2023 financial year.

The materials sector as a whole took a hit after prices for industrial metals fell overnight, with IGO, South32 and Pilbara minerals falling 4.1 per cent, 5 per cent and 4.9 per cent, respectively.

In the financial sector, all four big banks spent the day in the red. ANZ was hit the hardest, dipping 1.8 per cent by market close. Meanwhile, data manager Link Administration’s shares slipped 1.5 per cent to $3.33 after it revealed that its talks with suitor Dye & Durham Ltd for parts of its business had failed to deliver an outcome.

Overnight, the S&P 500 and Dow Jones were flat in early afternoon trade while the tech-heavy Nasdaq slid by 0.4 per cent.

Every major index is on track for weekly losses.

China rolled back more of its COVID-19 restrictions that have hindered that nation’s economy and added more uncertainty to global supply chains.

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Markets in Asia closed lower overnight and European markets were mostly lower. US crude oil prices fell 2.3 per cent.

Inflation, the Fed’s aggressive interest rate increases and recession worries remain the big concerns for Wall Street. Economic updates later this week could give investors more insight into the path ahead for inflation, and how the Fed will continue fighting high prices.

Inflation has been easing and economists expect the upcoming data on wholesale and consumer prices to reflect that trend, however a growing number of analysts expect the US economy to slip into a recession in 2023, but are unsure of its potential severity and duration.