Japan's Nikkei falls more than 3% after Wall Street sell-off

Japan's Nikkei share average fell more than 3 per cent on Wednesday, with chip-related stocks leading the declines, as the market tracked Wall Street's biggest drop since early August.

By 0110 GMT, the Nikkei .N225 was down 3.2 per cent at 37,428.34. The broader Topix .TOPX was down 2.86 per cent to 2,655.02.

US stocks slumped on Tuesday, at the start of one of the market's historically worst months, ahead of data likely to influence how much the Federal Reserve will lower interest rates. .N

The benchmark S&P 500 index .SPX, Nasdaq Composite Index .IXIC and the Dow Jones Industrial Average .DJI recorded their biggest daily percentage declines since early August.

In Japan, chip-related giant Tokyo Electron 8035.T fell 6 per cent, tracking Nvidia's NVDA.O 10 per cent drop. Peer Advantest 6857.T fell 6 per cent. Technology investor SoftBank Group 9984.T lost 5.6 per cent.