By Jonathan Davies

US stock markets fell sharply on Tuesday, wiping out the gains made so far in 2015.

The Dow Jones and S&P 500 indexes hit record highs last week, but fell 1.85% and 1.7% respectively.

The tech focused Nasdaq market, which hit a 15-year high last week, dropped 1.67%.

The sharp falls come as investors became concerned that the Federal Reserve could raise interest rates sooner than expected.

And the US dollar, which often has a bearing on stock markets, continued to strengthen with a 1.4% increase against the euro. A stronger dollar could weaken US exports, which has an adverse affect on shares.

Meanwhile in London, the FTSE 100 recorded its worst day of 2015 with a 2.5% drop. Paris' Cac-40 and Frankfurt's Dax also ended closed on a low.