Wall Street’s stocks dive deeper as Ukraine tensions rise

• Nasdaq was down 168.65 points, or 1.2%, to finish at 13,548.07

• WTI crude oil and natural gas dipped Friday and energy stocks retreated

Escalating tensions between Ukraine and Russia prompted a sharp sell-off on Friday, as US stocks headed for a second consecutive losing week. 

The Dow Jones Industrial Average fell 232.85 points, or 0.7%, to close at 34,079.18, while S&P 500 dropped 31.39 points, or 0.7%, to end at 4,348.87. The Nasdaq Composite was down 168.65 points, or 1.2%, to finish at 13,548.07. 

A death cross crystallized in the tech-heavy index. It is a bearish chart pattern that appears when the 50-day moving average crosses below the 200-day moving average.

Also read: US consumer sentiment sinks in early February amid inflation concerns

For the week, the Dow dropped 1.9%, the S&P 500 fell 1.6% and the Nasdaq declined 1.8%.

Ukraine-Russia situation

The concerns about a military conflict between Russia and Ukraine have even prompted bullish investors to pull back and drive down the value in stocks is speculative and yield-sensitive areas of the market, which makes up a large chunk of the Nasdaq Composite constituents.

The Wall Street Journal reported midday Friday that U.S. officials expect a Russian attack in a few days.

President Joe Biden is expected to move more U.S. troops closer to Ukraine after he invoked Article 5 of the NATO alliance. “Make no mistake, the United States will defend every inch of NATO territory with the full force of American power. An attack against one NATO country is an attack against all of us,” Biden said in a Feb. 15 address.

Read more: White House warns for chipmakers to diversify supplies amid tensions with Russia

The Ukrainian government and Russian state-controlled media on Friday exchanged fresh accusations of cease-fire violations at the border.

Other US assets

The 10-year Treasury yield slid to 1.93% on Friday, falling down by 4.2 basis points. For the week, the yield fell 2.1 basis points.

WTI crude oil and natural gas dipped Friday and energy stocks retreated. WTI slipped by nearly 0.8% to settle at $91.07 a barrel. APA eased about 1% and Schlumberger lost about 2%.

Also Read: Oil prices slide due to Iranian oil supply amid Russia-Ukraine tensions