A sharp rise in bond yields turned investors fearful on Friday, setting off a sell-off in global equity markets that crippled growth stocks and knocked the Australian dollar off its three-year high above US80¢.

Expectations for a swift recovery in the global economy that will be accompanied by long-dormant inflation have infiltrated the bond market and sent yields soaring on Thursday, but the biggest pain was felt in technology stocks from Wall Street to the ASX’s buy now, pay later heroes.