Washington: Dow futures have plunged 450 points as Donald Trump’s chances to win the White House apparently strengthened as early state results poured in.
Fear of a Trump presidency has destabilized the markets in the past, with some predicting that the markets would crash if the Republican wins the White House, the BBC reported.
Stock futures plunged and bonds rallied as the projections of the outcome of the US Presidential election remained much tighter than expected on Tuesday as voting drew to a close.
Investors moved into bonds and stocks cratered as traders questioned whether Democrat Hillary Clinton could win the race. The Mexican peso fell sharply against the US dollar, CNBC reported.
“I would say the market is a bit more cautious as it doesn’t seem to be such a quick and decisive victory for Hillary as it seemed,” said Ian Lyngen, head of US rate strategy at BMO.