Investors are concerned about the tense situation between Ukraine and Russia, at a time when important decisions from the Fed are also awaited.
Stock markets are off to a strong start to the week as tensions between Russia and Ukraine begin to weigh on investor sentiment. In Europe, the reference index Stoxx 600 recorded losses of 3%, while the session in New York started in negative territory, on the eve of the start of the Fed’s monetary policy meeting.
An invasion of Ukraine by Russia may be imminent. The US has asked the embassy in Kyiv for US diplomats and families to leave the country, noting that Russian military action could occur at any time, triggering a war.
In addition, monetary policy decisions are also expected from the Fed next Wednesday, at the end of the two-day meeting, where an indication of when the first interest rate increase since 2018 will occur will be given. conditioning the stock markets, according to analysts.
Against this backdrop, the industrial Dow Jones fell 1.2%, falling for the seventh day in a row. The S&P 500 lost 1.6% and the technological Nasdaq lost 2%. In Europe, the Stoxx 600, an index that aggregates the top 600 listed companies, dropped 3.3%.
On Wall Street, investors are also anticipating a number of results from tech companies this week. Listed as Microsoft, which is down 1.90% to $290.41; Apple, which lost 1.75% to $159.56; and Tesla, down 6.03% to $886.98, will reveal quarterly accounts this week.
In this session, oil prices are falling. A barrel of Brent fell 1.57% in London, to US$85.71, while WTI crude dropped 1.64% to US$83.50.