August 27, 2014
Wall St sells off as Ukraine-Russia tension rises
US stocks tumbled alongside other risky assets globally as tensions in Ukraine and Russia escalated after Russian President Vladimir Putin declared he had the right to invade his neighbor.
The S&P 500 had closed at a record high on Friday, and profit-taking was expected on Wall Street due to the political uncertainty. The index found some support when it fell to 1,840, but broke below it after the first attempt. The S&P 500 extended losses in early afternoon trading and then recovered slightly to close above the support level.
The Dow Jones industrial average fell 153.68 points or 0.94 percent, to end at 16,168.03. The S&P 500 slid 13.72 points or 0.74 percent, to finish at 1,845.73. The Nasdaq Composite dropped 30.818 points or 0.72 percent, to close at 4,277.301.
In Europe, the Euro STOXX banks index fell 3.8 percent in the biggest drop since last August.
The pan-European FTSEurofirst 300 index fell 2.2 percent to close at 1,318.24.
The dollar index was up 0.48 percent to 80.076. The dollar's gains pushed the euro 0.49 percent lower at $1.3735.
Crude oil prices jumped. Brent crude hit a peak of $112.39 a barrel, the highest level since Dec. 30. Brent settled $2.13 higher at $111.20 a barrel. US crude jumped $2.33 to settle at $104.92 a barrel.
Gold futures settled up $25.70, or 2.2 percent, at $1,350.3 an ounce.
US government bond prices rose, with the 10-year note up 15/32 in price to yield 2.6065 percent.