American stocks plummet as Biden expands Russia sanctions

ANKARA

US stocks plummeted to close Wednesday in the red as tensions concerning the Russia-Ukraine crisis escalated.

At the closing bell, the Dow Jones was down 452.53 points, or 1.35%, to 33,144. The S&P 500 lost 74.56 points, or 1.73%, to hit 4,230 points.

The Nasdaq fell 313.13 points, or 2.34%, to finish at 13,068 points.

Russian President Vladimir Putin on Monday announced that Moscow was recognizing two Ukrainian breakaway regions, Luhansk and Donetsk, as independent states, followed quickly by sending troops to “maintain peace.”

US President Joe Biden, in response, announced Tuesday the first tranche of sanctions against Russia.

On Wednesday, he announced that the US is expanding sanctions to the Nord Stream 2 AG, the company that built a key gas pipeline from Russia to Germany, and its corporate officers.

“Through his actions, President Putin has provided the world with an overwhelming incentive to move away from Russian gas and to other forms of energy,” Biden said in a statement.

Amid the tension, the VIX volatility index rose 6.14% to 30.58.

The yield on 10-year Treasury notes advanced three basis points to 1.97%.

Brent crude was trading at $93.88 per barrel with a 0.03% gain, while US benchmark West Texas Intermediate was at $91.77.