Geopolitical tensions in Ukraine remain at the helm of Wall Street, which has developed with the mood of Russian President Vladimir Putin. Renewed fears of a Russian invasion are once again turning investors away from stocks and turning to other assets.

The Dow Jones Industrial Average fell 1.78% to 34,312.03 points, while the S&P 500 lost 2.12% to close at 4380.26. The Nasdaq technology composite was the most punished, falling 2.88% to 13,716.72 points.

The decline in listed companies was almost broad, with nearly 85% of listed S&P 500 companies closing in the red.

Investors chose safe haven assets, betting on Treasuries, gold, yen and Swiss franc, all safe haven assets in times of heightened uncertainty.

“Markets continue to look at the situation in Ukraine and alternate between increased risk appetite when tensions subside and increased risk aversion when tensions escalate,” Bloomberg quoted Chris Zacarelli, CIO, CIO, as saying.

The day is also marked by statements by St. Louis Fed Chairman James Bullard, who argued that to cut inflation, the Fed may have to raise interest rates beyond the neutral level, which it sees as around 2%. Bullard confirmed that the institution led by Jerome Powell is expected to raise interest rates by 100 basis points by July 1.

“As we enter the final phase of ‘earnings season,’ volatility in the stock market continues to be driven by two main themes: inflation and Russia,” said Non Lode. Director of Global Equities at Federated Hermes.