The Nikkei futures' Friday close suggests Japan's Nikkei is likely to fall more than two percent, below its September trough to one-year lows while Australian shares on Monday fell 1.7 percent.
MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS dropped 0.7 percent in early trade. Japan's Nikkei shed 3.3 percent, as downbeat domestic data added to the gloom.
By contrast, Taiwan's central bank cut interest rates for the second time this year and said it would keep monetary policy loose to shore up growth in the island's trade-dependent economy as the global demand outlook worsened.
The Federal Reserve's 25-basis-point increase was almost a decade in the making and easily one of the most telegraphed in history. So there was some relief that, after months of waiting and several false starts, the move was finally done and dusted.
With a hike seen as a mostly done deal after more than a year of anticipation, investor focus is fixed on how the Fed might opt to pace its tightening cycle next year. The central bank has hinted that it intends to hike rates gradually.
Markets were also focused on whether the People's Bank of China (PBOC) would continue to guide its currency lower, with traders wary about the central bank's intentions after it set the yuan/dollar official midpoint at 4-1/2-year lows in recent session.
US stocks closed mixed on Friday due to a 3 percent decline in oil prices. Oil tumbled USD 1.33, or 3.09 percent, to USD 41.71 a barrel as the dollar index, which hit a fresh eight-month high, added additional pressure to an oversupplied market.
The Canadian dollar, already under pressure from sliding crude oil prices, faced extra headwinds as Canada's Liberal Party, was tipped to won Monday's general election which would pave the way for increased government spending.