GLOBAL MARKET-Asia stocks skid as global inflation fears, tech woes hit Wall Street

* Wall Street tumbles as inflation fears nag

* Nasdaq in biggest one-day decline in four months

* Oil prices settle up

* Reuters Live Markets blog:

By Echo Wang

MIAMI, Feb 25 (Reuters) - Asian stocks opened sharply lower on Friday after Wall Street's main indexes tumbled, with technology-related stocks under pressure following a steep rise in benchmark U.S. Treasury yields.

Australia's S&P/ASX 200 fell 2% in early trade, on track for the biggest intraday percentage loss since Jan. 28. Japan's Nikkei 225 was down 1.8% while Hong Kong's Hang Seng index futures lost 1.69%.

U.S. Treasury yields vaulted to their highest since the pandemic began on expectations of a strong economic expansion and related inflation. The bond sell-off accelerated after a disappointing auction of seven-year notes at midday.

"Fed officials aren't stepping in the way of yield moves and are taking them as a signal of growing optimism in the recovery," said Tapas Strickland in a research note, a director of economics and markets at National Australia Bank.

U.S. stocks tumbled, forcing a decline in European equities that had rallied earlier on a bigger rise than expected in euro zone economic sentiment data for February.

Apple Inc (AAPL), Tesla Inc (TSLA), Amazon.com Inc (AMZN) , NVIDIA Corp (NVDA) and Microsoft Corp (MSFT) were the biggest drags on the S&P 500 and Nasdaq.

MSCI's all-country world index fell 0.23%, also pulled down by the big U.S. tech names that make up a large component of the global stock benchmark.

On Wall Street, the Dow Jones Industrial Average fell 1.75%, the S&P 500 lost 2.45% and the tech-heavy Nasdaq Composite dropped 3.52%, the biggest single-day decline in almost four months for the tech-heavy index.

Bond trading pushed up a closely watched part of the Treasury yield curve that measures the difference between yields on two- and 10-year notes. The gap, seen as an indicator of economic expectations, widened as much as 141 basis points, the most since 2015.

The 10-year Treasury note was up 14 basis points to yield 1.5286% in late afternoon trade, prompting investors concerned about rich valuations to lock in profits on some high-flying growth stocks.

The dollar index rose 0.173%, lifting off a seven-week low while the safe-haven Japanese yen, which tends to underperform when global growth improves, weakened 0.06% versus the greenback at 106.28 per dollar.

Oil prices held near 13-month highs, with profit-taking limited by assurance that U.S. interest rates will stay low and a sharp drop in U.S. crude output last week due to the winter storm in Texas.

U.S. crude recently fell 0.27% to $63.36 per barrel and Brent was at $67.08, up 0.06% on the day.

Spot gold added 0.1% to $1,771.71 an ounce. U.S. gold futures fell 0.36% to $1,768.00 an ounce.

(Reporting by Echo Wang in Miami; Editing by Sam Holmes)

Copyright © Reuters 2008. All rights reserved. Republication or redistribution of Reuters content, including by caching, framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters and the Reuters sphere logo are registered trademarks and trademarks of the Reuters group of companies around the world.

News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.