US stocks see worst day this year as Fed rate hike rattles investors

Dow falls 3.1% a day after the Fed chair announces biggest hike in two decades to combat inflation

US stock markets suffered their worst day of the year on Thursday as investors worried about the Federal Reserve's plans to raise interest rates to tackle soaring inflation.

The Dow Jones Industrial Average lost over 1,000 points (3.1%). The S&P 500 and Nasdaq Composite fell 3.5% and 4.9% respectively. Tech stocks were particularly hard-hit, with Amazon dropping 7.6% and Tesla falling 8.3%.