Traders work on the floor of the New York Stock Exchange (NYSE) on November 12, 2024 in New York City.
Spencer Pratt | Getty Images
Stocks fell on Tuesday as investors fled to safety amid rising geopolitical tensions between Ukraine and Russia.
of Dow Jones Industrial Average It decreased by 400 points or 0.9%. of S&P500 and Nasdaq Composite They decreased by 0.5% and 0.2%, respectively. U.S. Treasuries rose as investors moved to safe-haven assets, pushing yields lower. Gold futures also rose.
The market pressure began overnight after Russian President Vladimir Putin warned the United States that the threshold for using nuclear weapons had lowered, but President Joe Biden also warned that Ukraine would not use U.S. weapons for an attack on Russian soil. A new stance has been taken in response to the approval of the use of
Losses then accelerated with news that Ukraine had attacked the Russian border region of Bryansk with US-made missiles, according to the Russian military. The New York Times confirmed the attack, citing U.S. and Ukrainian officials. According to reports, the attack was against an ammunition depot.
“Rising geopolitical tensions have been and continue to be a risk to markets,” said Gaurav Malik, chief investment officer at Paras Capital Advisors. “Russia's escalating war rhetoric, combined with uncertainty about how the incoming US presidential administration will respond, are contributing factors to stock market volatility.”
of CBOE Volatility Index The (VIX) index, considered the top “fear gauge” on Wall Street, soared above 17.
One bright spot was Walmart, which rose 3% after the post. strong profits We raised our outlook for solid discretionary spending.
Wall Street is emerging from a mixed session. The Nasdaq rose 0.6%, ending a four-day losing streak, while the S&P 500 rose about 0.4%. The Dow Jones Industrial Average fell about 55 points, or 0.1%, for the 30-stock index's third straight decline. Last week, concerns about the future direction of interest rates, given the strength of the economy and labor market, triggered a post-election sell-off in stocks.
