US tech sell-off and report of rising prices for goods leaving China’s factories spook stock markets

Shares in the City have fallen sharply after fears of rising inflation in the world’s two biggest economies sent shudders through global stock markets.

Every one of the major companies featured in the FTSE 100 index was down in early trading after a sell-off in the US tech sector and an overnight report showed rising prices for goods leaving China’s factories.

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