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The near 9 percent slump in Chinese stocks was their worst performance since the depths of the global financial crisis in 2009 and wiped out what was left of the 2015 gains, which in June has been more than 50 percent.

With the latest slide rooted in disappointment that Beijing did not announce expected policy support over the weekend, all index futures contracts slumped by their 10 percent daily limit, pointing to more bad days ahead.

MSCI's broadest index of Asia-Pacific shares outside Japan fell 5.1 percent to a three-year low. Tokyo's Nikkei ended down 4.6 percent and Australian and Indonesian shares hit two-year troughs.

"China could be forced to devalue the yuan even more, should its economy falter, and the equity markets are dealing with the prospect of a weaker yuan amplifying the negative impact from a sluggish Chinese economy," said Eiji Kinouchi, chief technical analyst at Daiwa Securities in Tokyo.

There was further evidence that developed markets were becoming synchronized with the troubles. London's FTSE which has a large number of global miners and oil firms, was down for its 10th straight day, its worst run since 2003.

The pan-European FTSEurofirst 300 was last down 3.7 percent at 1,382.15 points, wiping around 300 billion euros ($344.61 billion) off the index and taking its losses for the month to more than 1 trillion euros.

U.S. stock futures also pointed to big losses for Wall Street's main markets, with the S&P 500, Dow Jones Industrial and Nasdaq expected to open down 2.8, 2.5 and 4 percent respectively.

It could tip the S&P 500 and Nasdaq formally into 'correction' territory - meaning stocks, at their lows, are 10 percent off their 52-week highs.

"We are in the midst of a full-blown growth scare," strategists at JP Morgan Cazenove said in a note.

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Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

U.S. stocks poised for another sharp drop

Got some rest over the weekend? Good. There's a bumpy ride ahead.

U.S. stock futures are sharply down on Monday morning as worries about China continue to fuel a global sell off.

Nasdaq futures are down 3.5%, with Dow and S&P futures both around 2% lower. 

1) China

No intervention, more losses: The Shanghai Composite closed 8.5% down, wiping out all gains made so far this this year. It has now fallen nearly 38% since its June peak. China's smaller Shenzhen Composite lost 7.7%.

Traders were hoping Chinese authorities would step in over the weekend to support the markets. "Unfortunately, there was nothing but disappointment and trader's angst turned into anger this morning and they decided to liquidate their positions," said Naeem Aslam, chief market analyst at Ava Capital Markets. 

2) Stock market movers

Apple, Netflix suffer: Many U.S. stocks look poised to start the week deep in the red.

Apple (APLE) is down over 4% in premarket trading, while Netflix (NFLX, Tech30) is down more than 5%. Facebook (FB, Tech30) is trading about 4% lower.

Bank of America (BAC) has also suffered losses, trading 3.5% down in premarkets, and other financial stocks are under pressure.

3) Oil hits new 6-year low

Oil plunged 3.5% on Monday to trade at $39.04 per barrel. Prices had fallen below $40 per barrel for the first time since 2009 on Friday.

Natural gas and gold are also down. Cheap oil and other commodities are weighing heavily on many emerging markets, with Russia, Brazil, and Venezuela among the biggest losers. 

4) International markets plunge

All major European markets opened down on Monday. London's FTSE 100 plunged 2.7% after entering correction territory last week. The "Footsie" is weighted towards resource companies and has been hit by the slowdown in demand from China.

Germany's DAX also fell 2.7%. China is a crucial market for its automakers.

And it was all misery for other Asian markets again, with all major regional indexes closing in the red. Tokyo's Nikkei ended the session 4.6% down.

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..

What is it? Federal Reserve FOMC members vote on where to set the nation's key interest rates and their public engagements are often used to drop subtle clues regarding future monetary policy.

When? At 03:55pm Eastern Time.

Trading Tip: If the announcement will hint towards higher interest rates, you can expect the USD to rise.

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What is it? Expectations of future inflation can manifest into real inflation, primarily because workers tend to push for higher wages when they believe prices will rise.

When? At 11:00pm Eastern Time.

Trading Tip: If the actual number is higher than the forecast, you can expect the NZD to rise.

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