The US stock markets recorded significant declines on Wednesday with the deepening of the crisis surrounding the administration of President Donald Trump. Dow Jones Industrial Average blue-chip index wiped out over 360 points of its value, while the broader S&P 500 dropped 1.8% and Nasdaq’s benchmark benchmark fell 2.6%. The markets have effectively erased the promotions since the beginning of the month.
On Monday, it became clear that the US president had provided Lavrov with classified information. Trump defended his decision on Tuesday and said he was in a position to do so. Today, however, the Russian President Vladimir Putin said Russia is ready to provide a record of the White House meeting to prove that no secrets have been provided.
The agenda is also the consequences of the dismissal of FBI Director James Comey. On Tuesday, the New York Times reported that in a memorandum from his meeting with Trump, Comey said the president had asked to stop the investigation of Michael Flynn, a former National Security Trump’s adviser.
The traditional asset hikes rose as yields on 10-year US government bonds dropped to 2.21%.
The shares in the US have been rising since the beginning of the year because of the hopes of tax reform. Earlier this week the S&P 500 and Nasdaq have subdued new historical records. The CBOE Volatility Index (VIX), which is considered a measure of market fear, jumped 20% on Wednesday to its highest level since April 21.
US light crude WTI rose by 0.68% to 48.99 USD per barrel, and European Brent oil added 1% to its price to 52.17 USD per barrel. The gold rises by nearly 2% to 1,260.08 USD per ounce.