Wall Street got bathed in a sea of red Thursday amid mounting tensions between the US and North Korea.
The Dow Jones industrial average lost 204 points, marking three consecutive day of losses. The index — which last week hit 22,000 for the first time — closed at 21,844.
Markets began to tumble Tuesday after President Trump promised North Korea will face “fire and fury like the world has never seen” if the country continues to threaten the US.
The president didn’t show signs of letting up on the tough rhetoric.
“If anything, maybe that statement wasn’t tough enough,” Trump said to a pool of reporters Thursday.
The VIX, also known as Wall Street’s “fear gauge,” jumped 44 percent, to 16.04, its highest level this year.
The S&P 500 and Nasdaq followed the Dow, falling 1.5 percent and 2.1 percent, respectively. Gold, meanwhile, a traditional safe haven for investors, gained $26.50 since Monday, closing Thursday at $1291.20 per ounce.
But Wall Street is wondering whether the sell-off is due to North Korea — or just a widely anticipated pullback?
What Are Your Thoughts?
