Two of the three major indices posted their biggest single-day losses in eight months Wednesday as investors grew worried over Russia-related controversies surrounding the Trump administration.
The Dow fell 372 points, or 1.78 percent, to close at 20,606, while the S&P lost 43 points, or 1.82 percent, to hit 2,357, marking both indices' worst single-day performance since Sept. 9.
The Nasdaq decreased 158 points, or 2.57 percent, to finish trading at 6,011 -- its biggest single-day decline since June 24.
The U.S. Dollar Index, which measures the value of the American dollar against British pound, euro, Japanese yen, Canadian dollar, Swedish krona and Swiss franc, fell 0.72 percent to 97.42. The yield on 10-year treasury notes fell 4.5 percent to 2.221.
American investment banking giants Goldman Sachs, Bank of America, and Morgan Stanley saw their shares decline 5.3 percent, 5.9 percent, and 5.6 percent, respectively.
Tech giants Apple stock price decreased 3.4 percent, while Microsoft shares lost 2.8 percent.
Washington plunged into political turmoil again Tuesday evening after media reports suggested that President Donald Trump reportedly asked former FBI Director James Comey in February to terminate an investigation into former National Security Advisor Michael Flynn's Russia contacts.
The developments have left investors wondering whether the administration would be able to deliver pro-growth policies and tax reductions for corporations, as per Trump's campaign pledges.
By Ovunc Kutlu in New York