U.S. stocks extended losses on Wednesday as investors pummeled technology shares, sending the Nasdaq down more than 2 percent following IBM's disappointing outlook.

* The Dow Jones industrial average <.DJI> was down 193.54 points, or 1.80 percent, at 10,531.89. The Standard & Poor's 500 Index <.SPX> was down 19.15 points, or 1.66 percent, at 1,131.08. The Nasdaq Composite Index <.IXIC> was down 47.21 points, or 2.03 percent, at 2,273.19.

* The CBOE Volatility index <.VIX>, Wall Street's favorite measure of sentiment, jumped more than 11 percent, its biggest one-day jump in nearly two months.

* Reports that China had instructed some banks to curb lending this month added to caution.

* A jump in the U.S. dollar also weighed on the market as global commodity prices came under pressure.

(Reporting by Ellis Mnyandu; editing by Jeffrey Benkoe)