U.S. stocks fall amid global equities selloff on Ukraine turmoil

U.S. stocks sank, tracking a global selloff in equities, as Russia’s threat to invade Ukraine sent investors searching for havens. More

To continue reading this article, please do one of the following.



economic indicators

U.S. stocks fall amid global equities selloff on Ukraine turmoil

BLOOMBERG NEWS PHOTO/JIN LEE
RUSSIA'S MILITARY TAKEOVER of the Crimean Peninsula and questions about whether it will invade eastern Ukraine roiled global stock markets Monday, including at the New York Stock Exchange in New York.
Posted 3/3/14

NEW YORK - U.S. stocks sank, tracking a global selloff in equities, as Russia’s threat to invade Ukraine sent investors searching for havens.

General Electric Co. and Caterpillar Inc. each plunged 1.2 percent to pace declines among large industrial shares. The Market Vectors Russia ETF tracking companies from Gazprom OAO to OAO Lukoil dropped 6.4 percent. Yandex NV, a U.S.-listed online search engine operating in Russia, slumped 10 percent. Newmont Mining Corp., the largest U.S. producer of gold, jumped 2.8 percent.

The Standard & Poor’s 500 Index fell 0.6 percent to 1,848.76 at 9:49 a.m. in New York. The gauge closed at a record on Feb. 28. The Dow Jones Industrial Average dropped 131.04 points, or 0.8 percent, to 16,190.67. Trading in S&P 500 stocks was 11 percent above the 30-day average at this time of day.

“We never know what will happen with Russia and this always makes people nervous,” said Michael Morris, head of equities at Mitsubishi UFJ Asset Management in London. “You have a president that is trying to expand Russia’s global political powers but the country may not have the capacity for this fight. It’s too soon to know what the outcome might be but I’m not at all surprised to see the markets down today.”

The tensions sent stocks tumbling around the world, with the MSCI All-Country World Index sliding 0.8 percent. Russian stocks had their biggest decline in five years and the Europe Stoxx 600 plunged 2 percent, its biggest slide in five weeks. Emerging-market stocks dropped 1.5 percent. Gold soared 2 percent and Treasuries rallied.

Ukraine tension

Ukraine mobilized its army and called for foreign observers after Russian President Vladimir Putin got approval to use military force in Ukraine. Groups of as many as 100 Russian soldiers attacked Ukrainian army units in Crimea, where ethnic Russians comprise the majority, the border guard service said.

U.S. Secretary of State John Kerry is traveling to Kiev Monday after warning of possible sanctions against Russia. European Union foreign ministers will hold an emergency meeting today, while the Group of Seven nations suspended planning for the Group of Eight summit in Russia in June.

“The Ukraine news is troubling, but there are always global risks and short-term fluctuations because of these risks,” Karyn Cavanaugh, a market strategist at ING U.S.Investment Management in New York, said in a phone interview. Her firm oversees about $200 billion. “I see this being short-term unless it escalates. If we do see some market gyrations and volatility, it could be a buying opportunity.”

February rally

The geopolitical tension comes after the S&P 500 rose 4.3 percent in February, the most since October, to end the month at a record 1,859.45. Investors have been speculating that recent weakness in data from housing to jobs was caused by inclement weather and that the Federal Reserve will continue to support the economy.

Next Page
Calendar
PBN Hosted
Events

Join PBN and two panels of successful female executives, business owners and entrepreneurs as we delve into what women should do to advance their careers, and become leaders in the corporate world and their own enterprises.
  • Book of Lists Party
    Save the date - January 15, 2015 for PBN's Book of Lists Party at the Providence ...
  • Best Places to Work
    Enrollment is now open for the 7th annual Best Places to Work program. Winners w ...
Advertisement
Purchase Data
Book of Lists
Lists
Book of Lists cover
PBN's annual Book of Lists has been an essential resource for the local business community for almost 30 years. The Book of Lists features a wealth of company rankings from a variety of fields and industries, including banking, health care, real estate, law, hospitality, education, not-for-profits, technology and many more.
Data icons
Data can be purchased as single lists, in either Excel or PDF format; the entire database of the published book, in Excel format; or a printed copy of the Book of Lists.
  • Purchase an e-File of a single list
  •  
  • Purchase an e-File of the entire Book of Lists database
  •  
  • Purchase a printed copy of the Book of Lists
  •  
    National
    Local
    Latest News
    Advertisement