S&P 500 plummeted amid intensifying fears of a full-scale Russian invasion on Ukraine

S&P 500 closed near a seven-month low at 4,225.5 amid the squeeze in risk appetite.
Ukraine Foreign Minister Dmtryo Kuleba has requested an emergency meeting of the UN Security Council.
GBP/JPY is eyeing more downside as investors prefer Japanese risk amid risk-aversion theme.

Sagar Dua FXStreet

The odds of an imminent war between the Kremlin and Ukraine are rising higher after the Russian leader Vladimir Putin overlooks Ukraine’s phone request.

Meanwhile, Ukraine President Zelenskyy warned that Russia's move could worsen the situation while also saying, "Ukraine is not a threat to Russia."

In the American session, Ukraine Foreign Minister Dmtryo Kuleba had requested an emergency meeting of the United Nations (UN) Security Council in order to reach a positive outcome against the ongoing tensions with Moscow.

This has brought a massive sell-off in the global markets. The S&P 500 tumbled 79.26 points, or 1.84%, and close at 4225.5 on Wednesday. It is worth noting that the index has closed near to January 24 low, which is also a seven-month low. In Asia, the Nikkei is down by over 0.5% while Australia's ASX 200 Index is down 1.85%.

Risk-off impulse in action

The massive sell-off in the US markets has alarmed high volatility in the market owing to higher inflation expectations amid rising oil prices, unstable security status in Europe and required distancing with risk-sensitive assets. However, the demand for safe-haven assets is back in action and assets like the Japanese yen, US dollar and gold may get more traction.

GBP/JPY Price Analysis

Investors have underpinned the Japanese yen amid the geopolitical tensions against the shred currency. The price action on an hourly scale is dictating a bearish structure as the cross has slipped near the lower trendline of a symmetrical triangle. The ascending trendline of a symmetrical triangle has placed from February 14 low of 156.30. The Relative Strength Index (RSI) (14) has skid below 40.00 and indicting more weakness ahead.

GBP/JPY live market

The unanswered calls from Russia have spurt the volatility in an already uncertain environment. The GBP/JPY is off from Wednesday’s high at 115.83 and is likely to display more weakness after violating the double-tested Wednesday’s low at 115.60.

Author

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

AUD/USD regains mild traction, falters near 0.7150

AUD/USD gathers some steam and manages to flirt with the 0.7150 level on Thursday. However, the pair has retraced some of Wednesday’s significant pullback due to renewed selling pressure on the Greenback and a slight improvement in risk sentiment following hopes of a deal in the Middle East. Wrapping up the Australian docket, the RBA’s Hauser will speak early on Friday.

USD/JPY trades below 160.00 intervention threshold; bullish bias intact

The USD/JPY pair attracts some sellers during the Asian session amid fears that authorities will step in again to prop up the Japanese Yen. Furthermore, the Israel-Lebanon truce prompts some profit-taking around the US Dollar and exerts downward pressure on the currency pair.

Gold puts its 200-day SMA to the test near $4,420

Gold keeps the bullish stance in place in the latter part of Thursday’s session, although a convincing break above the key $4,500 mark per troy ounce still remains elusive. The precious metal’s advance comes amid the resurgence of some selling interest around the Greenback, improving risk sentiment, and declining US Treasury yields across the board.

XRP plummets as ETF outflows, geopolitical tensions reinforce bearish outlook

Ripple (XRP) edges lower, trading around $1.15 at the time of writing on Thursday, its lowest price since February 6. The cross-border money remittance token is extending the sell-off for the fifth consecutive day, reflecting persistent headwinds from ongoing geopolitical tensions and investor uncertainty.

Nonfarm payrolls: Testing the limits of Fed policy patience

The upcoming nonfarm payrolls report for May will provide the final update on the US labor market before Kevin Warsh attends his first policy meeting as the new Fed Chair later this month.

Recession on paper: What really moves the Canadian Loonie now?

Statistics Canada handed the headline writers a gift and the analysts a headache. Real GDP shrank 0.1% on an annualized basis in the first quarter, and with the fourth quarter of 2025 revised down to a 1.0% contraction, that is two negative quarters in a row, the textbook definition of a technical recession and Canada's first since the pandemic.