Asian markets dipped in early trade Friday after a negative lead from Wall Street, with investors around the world worried about surging inflation.
Central banks in several major economies including the United States, Canada and Britain have already started raising interest rates to contain prices, but the European Central Bank on Thursday kept its stimulus plans and rates unchanged.
That sent the euro plunging to a near two-year low, but eurozone stocks were boosted, but Wall Street retreated ahead of the Easter holidays.
The mood was subdued in Asia too, where only a handful of markets were open on Good Friday.
The Nikkei 225 slid 0.7 percent with Wall Street's woes depressing sentiment.
The Tokyo market is likely to be "dominated by sell orders as investors are disheartened by falls in US shares," Mizuho Securities said in a note.
Shanghai dropped 0.2 percent.
Russia's invasion of Ukraine has added to the uncertainty about the global economic recovery from the Covid-19 pandemic.
This was reflected in statements from major banking executives in the United States, who described the American economy as solid but warned about the impact of the Ukraine conflict and the measures central banks such as the US Federal Reserve will take to control inflation.
"We don't think there's going to be a recession," Julian Emanuel, chief equity strategist at Evercore ISI, told Bloomberg television.
"We don't think the Fed is going to break the glass. But the problem is investors aren't in that mindset quite yet."
- Energy, food shocks -
Russia is a major global oil and gas supplier, and -- along with Ukraine -- is also a key player in the grain sector.
The conflict has shaken markets for these commodities, and the impact has been felt from the Middle East to South America.
In Yemen, there are fears of food shortages with the war-ravaged nation already on the edge of famine.
In Argentina, a strike by grain transporters has paralysed farming exports -- haulers are unhappy with the rates they are paid, pointing to the spike in fuel prices because of the Ukraine crisis.
The war has sent oil prices soaring, with reports swirling about further energy sanctions on Russia.
Both main contracts sat above the $100 per barrel mark.
"There are no surprises here as oil continues to march higher, with global supply shortage outweighing concerns about slower demand in China," Stephen Innes of SPI Asset Management said in a note.
- Key figures around 0320 GMT -
Tokyo - Nikkei 225: DOWN 0.7 percent at 26,995.86
Shanghai - Composite: DOWN 0.6 percent at 3,204.96
Hong Kong - Hang Seng Index: Closed for a holiday
Euro/dollar: DOWN at $1.0801 from $1.0832 at 2100 GMT
Pound/dollar: DOWN at $1.3063 from $1.3076
Euro/pound: DOWN at 82.67 from 82.77 pence
Dollar/yen: UP at 126.39 from 125.87 at 2100 GMT
Brent North Sea crude: UP 2.7 percent at $111.70 per barrel
West Texas Intermediate: UP 2.6 percent at $106.95 per barrel
New York - Dow: DOWN 0.3 percent at 34,451.23 (close)
London - FTSE 100: UP 0.5 percent at 7,616.38 (close)
Source: Bangladesh Sangbad Sangstha (BSS)