The Dow futures were down nearly 500 points, having shed even more in earlier moves.
The Russia-Ukraine situation is adding to the uncertainty in global markets amid the US Federal Reserve’s expected rate hikes.
The Dow Jones Industrial Average futures fell sharply on Monday night, with investors’ anxiety rising amid a potential invasion of Ukraine by Russia.
The Dow futures were down 484 points, or 1.4% to 33,555, having fallen more than 600 points earlier. The pressure was also hitting hard on the S&P 500 futures and Nasdaq 100 futures, which were down 1.7% and 2.3% respectively
Markets in Asia were also opening lower, with Australia’s ASX 200 down more than 1%.
Elsewhere in the markets, oil prices rose amid the tension as Brent crude jumped more than 3% to touch $96.84 per barrel.
Gold prices also rode investor flight into safe-haven assets to break to $1,914 per ounce. The precious metal’s upside saw it reach highs last seen in January 2021, with 52-week highs of $1,920 not far off.
In cryptocurrencies, Bitcoin fluctuated heavily amid the tension in Russia. After racing to early morning highs near $39,500, the flagship cryptocurrency fell sharply to $37,500. An attempt to recoup the losses suffered a setback amid the geopolitical news, tracking moves in the equities market to test intraday lows of $36,950.
Russia orders soldiers into Ukraine
Sentiment across the markets had been largely negative on Monday after Russian President Vladimir Putin announced recognition of Ukraine’s breakaway regions of Donetsk and Luhansk.
The situation escalated even further after Russia deployed troops into the two territories on the pretext of a “peacekeeping” mission. As reported by Reuters, Russia’s recognition of the two breakaway territories comes with an agreement allowing the Russian army to set up military bases.
Russia has acquired the right to build military bases in Ukraine's two breakaway regions under new agreements with their separatist leaders, according to a copy of an agreement signed by President Vladimir Putin https://t.co/ENa9T58ckl pic.twitter.com/Eh6PkotTIG
— Reuters (@Reuters) February 22, 2022
The US has announced sanctions on Russia and the two separatist republics, as has done the EU.
Meanwhile, Ukraine president Volodymyr Zelenskyy has called for calm from Ukrainians and asked for an urgent UN Security Council Meeting.
The Security Council is scheduled to meet at 9 p.m. ET on Monday. The open session, according to ABC News, will include Ukraine, even though the country isn’t a member.