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The S&P 500 futures are down 228 points and are trading 4.4% below fair value, the Nasdaq 100 futures are down 1,030 points and are trading 5.6% below fair value, and the Dow Jones Industrial Average futures are down 1,244 points and are trading 3.2% below fair value.

The global sell off that began late last week on fears about US economic growth has continued. Japan's Nikkei (-12.4%) plunged to levels last seen in November while the yen climbed to 142/dollar, reaching its best level against the dollar since early January.

Aside from ongoing worries about a US recession, the continuation of the pressure on markets has been attributed to unwinding of the yen carry trade and geopolitical fears surrounding an expected Iranian military retaliation against Israel after Israel killed a high-ranking Iranian military official. 

This has also fueled buying in the Treasury market, especially in shorter tenors. The 2-yr yield briefly moved below the 10-yr note yield for the first time in about 2 years. The 2-yr note yield is down 17 basis points to 3.70% and the 10-yr note yield is down nine basis points to 3.70%.

Outsized declines in mega cap stocks and semiconductor shares have also contributed to the strong downside bias.

Elsewhere, oil prices continue to fall in another manifestation of growth concerns. WTI crude oil futures are down 1.5% to $72.46/bbl.