Sydney - Investors piled out of Australian stocks Thursday in response to Wall Street registering its biggest one-day percentage loss in 20 years.

The ASX 200 fell 286 points, or 7.1 per cent, to 4,013.

The US market buckled on fears that the global financial turmoil would lead to a recession.

Macquarie Bank economist Martin Laycoss said the slippage was a "follow-through from Wall Street's 7.8-per-cent fall. It was impossible for us to ignore that."

The hardest-hit sector was resources with miners BHP Billiton Ltd and Rio Tinto Ltd down about 13 per cent.

The negative sentiment carried over to the local currency with the Australian dollar slumping to 67 US cents. But traders were heartened that it lifted from its intra-day low of 65 US cents. (dpa)