U.S. stocks pared some of its losses on Tuesday after falling sharply as emails disclosed by President Donald Trump`s eldest son cited Russian support for his father`s election campaign.
Donald Trump Jr was told a Russian prosecutor was offering incriminating information about Hillary Clinton as part of Russian government support.
Trump Jr. agreed to meet with a Kremlin-linked lawyer during the campaign after being promised damaging information about Clinton, the New York Times reported on Sunday.
Financial markets were jolted by the revelation as investors assessed its impact on Trump administration`s proposed policies.
"I think people are worried that it just means more political uncertainty, and sort of a continuation of the stalemate in Washington, a continuation of the delay in trying to get the Trump agenda passed through Congress," said Robert Pavlik, chief market strategist at Boston Private Wealth in New York.
The dollar index, which tracks the greenback against six major rivals, also turned negative after the news of the email.
Part of the drop in the market could have been due to algorithmic trading, said Bucky Hellwig, senior vice president at BB