Turkey turmoil spills over to Wall St, shaves 200 pts off Dow

Dow down 200 emerging markets crashing on US-Turkey geopolitical concerns

Dow down 200 emerging markets crashing on US-Turkey geopolitical concerns

Shares of Bank of America, JP Morgan and Wells Fargo rose between 0.6 percent and 0.9 percent, lifting the sector. The stock ended down 4.8 percent.

Five of the 11 major S&P sectors were higher, with financial stocks leading the gains. It is about half a percent away from the all-time high it hit on January 26.

The technology sector has been at the center of a sharp recovery in US stocks since a market rout in February.

Markets in Europe were also turbulent with Germany's DAX falling two percent, French CAC 40 falling nearly two percent, and Britain's FTSE 100 declining 0.8 percent.

The losses, however, were limited due to gains in technology shares, led by Google-parent Alphabet, Facebook and Microsoft. The tech-heavy NASDAQ was also 0.6 percent lower, ending at 7,839.

Microchip shares fell 9.9 percent, among the biggest decliners on the S&P, after disappointing second-quarter revenue forecast.

Japan's economy returns to growth in Q2
In addition, Japan's ongoing recovery is increasingly causing labor shortages worsened by a rapidly ageing population. The United States has pressured Japan for a bi-lateral free-trade agreement as a way to lower the USA trade deficit.

The geopolitical turmoil in Turkey is certainly making waves across the global economies, particularly in the United States where the Dow Jones Industrial Average fell over 200 points today.

Russia's dollar-traded RTS index plunged over three percent, Brazil Bovespa index was losing 2.3 percent, and the Turkish Borsa Istanbul index saw a 5.4 percent sell-off.

The latest data pointed to strength in the labor market, underscoring the health of the US economy despite ongoing trade tensions.

The number of Americans filing for unemployment benefits unexpectedly fell last week, suggesting that a strong economy was helping the labor market.

Declining issues outnumbered advancing ones on the NYSE by a 2.12-to-1 ratio; on Nasdaq, a 1.47-to-1 ratio favored decliners.

The S&P index recorded 20 new 52-week highs and one new low, while the Nasdaq recorded 44 new highs and 24 new lows.

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