(Reuters) – U.S. stock futures dropped Monday as investors worried about China’s COVID-19 epidemics spooked them.

Global growth worries reverberated on world markets with Chinese shares experiencing their worst slump since February 2020’s pandemic-led selling and European stocks plummeting to their lowest level in more than a month due to fears about China’s stricter restrictions.[MKTS/GLOB]

U.S.-listed Chinese shares like JD (NASDAQ:).com Inc, Alibaba (NYSE:] Group Holdings Ltd. and Baidu Inc. (NASDAQ:) both declined between 2.9%-4.4% during premarket trading.

Investors were on edge also at the beginning of a week in which megacap companies, such as Google parent Alphabet (NASDAQ) Inc. will be featured Microsoft Corp (NASDAQ) – Facebook (NASDAQ) owner Meta Platforms Inc., Amazon.com Inc. (NASDAQ) and Apple Inc. (NASDAQ) release quarterly results. The shares of these companies fell between 0.5% – 1.0%.

Surging bond yields and disappointing results by Netflix (NASDAQ:), pandemic darling Netflix, combined with a slumping market for bonds pummeled stocks that are high in growth. Last week’s losses brought the year-to date loss of 17.9% to tech-heavy Nasdaq. So far, the benchmark has dropped 10.3%.

After several hawkish comments by policymakers, traders have begun to price in large Federal Reserve actions this year to manage inflation. Fed Chair Jerome Powell signaled last week that he is open to the possibility of “front-end loading,” the U.S. central banking’s retreating from extremely-easy monetary policy.

The money markets anticipate that the Fed will raise interest rates by half a point during its next two meetings. [IRPR]

At 07:04 am. ET were down 236 point, or 0.7%. They were also down 32.5 points (or 0.76%) and down 101.5 points (or 0.76%).

Coca-Cola, NYSE:) Co was among the stocks that fell 1.1% despite beating quarterly revenue estimates.

Twitter Inc After reports it had begun negotiations with Tesla Inc (NASDAQ:) Inc Chief Elon Musk, (NYSE:) the stock gained 2.1%