ASX nears two-year low in early trading

The index is down 13.4 per cent for the year and just 39 points away from levels last seen in November 2020.

The broader All Ordinaries was down 143.5 points, or 2.11 per cent, to 6645.2.

The consumer staples and healthcare sectors were flat but every other sector was in the red.

Energy was down 5.7 per cent and materials down 4.3 per cent.

BHP was down 3.9 per cent to $36.67, Fortescue Metals dropped 4.5 per cent to $16.01 and Rio Tinto retreated 4.4 per cent to $88.91.

The losses come after a red day on Wall Street on Friday, where the S&P500 dropped 1.7 per cent following the Federal Reserve's hawkish forecast for rate hikes.