Stocks: Hit by rising turmoil in Ukraine
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Escalating tensions in Ukraine are rattling world markets, pushing global stocks down and sending U.S. stock futures lower.
Russia has moved forward with military intervention in Ukraine, and Ukraine's new leaders are accusing Russia of declaring war.
The political conflict has pushed the country to 'the brink of disaster,' Ukraine's interim prime minister Arseniy Yatsenyuk said on Sunday.
This comes despite threats of serious sanctions against Russia from the U.S. and Europe.
Political risk expert Ian Bremmer from Eurasia Group is calling this crisis 'the most seismic geopolitical events since 9/11.'
Related: 5 reasons Ukraine matters to the world economy
None of this is sitting well with investors -- U.S. stock futures were declining by nearly 1% ahead of the opening bell.
Russia's Micex index tanked by as much as 11%. Russia's central bank reacted by hiking interest rates, saying it wanted to maintain financial stability and inflation levels as market volatility increases.
All the major European stock markets were tumbling in morning trading, with Germany's Dax down by 2%. France's CAC 40 was declining by 1.8% and London's FTSE 100 was off by roughly 1%.
There was also plenty of red in Asian stock markets. Hong Kong's Hang Seng index closed 1.5% lower and Tokyo's Nikkei dropped 1.3%. Stocks in Shanghai and Shenzhen bucked the trend and moved higher.
Meanwhile, gold prices are rising by roughly 2% to just over $1,345 per ounce as investors seek safe-haven assets.
The price of oil is also up, with Brent crude prices rising by 1.5% to nearly $111 per barrel.
Simon Smith, chief economist at FxPro summed up the volatility in a note to clients: 'Geopolitical concerns have a habit of distorting the markets and in this case they could continue to do so for as long as the Ukraine issue remains in the headlines.'
Related: Fear & Greed Index
Looking ahead to the economic announcements of the day, the U.S. government will release January numbers on personal income and spending at 8:30 a.m. ET and on construction spending at 10 a.m..
The Institute for Supply Management's monthly index on the U.S. manufacturing sector will be released at 10 a.m. Data on February auto sales will come from the Commerce Department at 2 p.m. ET.
On the corporate front, 3-D printer company Stratasys will report earnings before the bell and SolarCity will report after the close.
Related: Investors pin hopes on strong jobs report
Stocks closed mixed on Friday -- the Dow Jones industrial average closed slightly higher and the Nasdaq ended down. The S&P 500 set a new closing record of just under 1,860, ending February on a high note. Overall, the S&P 500 added more than 4% in February, a rally that marks a turnaround from January's slump.
But whether the record streak continues in March largely depends on the economic data on tap this week, and how investors continue to view Ukraine's political crisis. 
First Published: March 3, 2014: 4:41 AM ET
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