Dow futures plunge 750 points on election night jitters
Dow Jones futures plummeted by over 750 points late Tuesday night, as U.S. presidential election results showed Republican nominee Donald Trump taking an early lead in a number of states.
BY LUCY BAYLY, NBC News
(NBC News) - Dow Jones futures plummeted by over 750 points late Tuesday night, as U.S. presidential election results showed Republican nominee Donald Trump taking an early lead in a number of states.
The plunge could even eclipse the Brexit shocker that rocked financial markets in June.
Investors began to move money into safe havens Tuesday night, renewing the boosts that bonds and gold had gained last week before FBI Director James Comey cleared Democratic nominee Hillary Clinton of criminal charges in her use of a private email server.
The Mexican peso, considered a bellwether of the U.S. election, continued its precipitous descent, hitting a record low against the dollar. The peso was down by 10 percent as traders got spooked by a show of strength from Trump, an unknown quantity on the global economic landscape but who has promised to clamp down on Mexican exports and build a wall across the entire length of the Mexican-U.S. border.
"This is truly a historic moment. I don't recall such an extreme outlook on the U.S. economy that could be so negative to the Mexican economy," Benito Berber, an analyst at Nomura Securities in New York, told Reuters.
"You have to go back to when the United States took half of Mexico's territory" to find such a moment when U.S. politics had such a potential impact on Mexico, he added.
With more than two-thirds of the U.S. already reporting electoral results that indicated a sweeping win for Trump, sovereign bonds shot up, while gold leapt to its highest price point in over a month, hitting $1,316 an ounce.