US Stock Markets Today: Dow Jones Sheds 300 Points, S&P 500 Down 0.5% As Russia Tensions Escalate
The 30-stock Dow Jones Industrial Average lost over 300 points or 0.8% to 43,030, while the tech-heavy Nasdaq Composite dropped 0.4% to below 18,690.
US stocks opened lower on Tuesday as escalating tensions between the West and Russia over Ukrainian missile strikes drove investors out of risk assets.
The 30-stock Dow Jones Industrial Average lost over 300 points or 0.8% to 43,030, while the tech-heavy Nasdaq Composite dropped 0.4% to below 18,690.
The S&P 500 declined 0.5% to 5,858. All but one of the eleven sectoral indices were trading in red led by consumer discretionary, materials and financials. Consumer staples was the sole holdout.
US defence majors saw advances led by fighter jet-maker Northrop Grumman Corp., Lockheed Martin Corp. and Boeing. Super Micro Computer Inc. jumped 30% to extend gains after it disclosed plans to stay listed. Walmart Inc. and Nvidia Corp. shares also rose.
The pressure on Wall Street followed a global flight from equities after Russian President Vladimir Putin approved use of nuclear weapons in response to conventional attacks on its soil, including by drones. Kremlin's action followed the US allowing Ukraine limited permission for long-range missile strikes on Russian territory.
The yield on the 10-year US Treasury bond fell eight basis points to 4.33% as traders rushed to safer assets. Spot gold prices jumped 1% to $2,640 an ounce.
The US dollar strengthened against major currencies. The Bloomberg Dollar Index gained 0.3% to 106.63. Japanese yen and Swiss franc surged as investors rushed to buy the safest assets.
International benchmark Brent oil swung between gains and loss but remained above $73 per barrel mark.
