TUESDAY – U.S. stocks declined on Tuesday, pulling the Dow under 17,000, as the United States and European Union joined in expanding sanctions against Russia, highlighting a geopolitical crisis that overrode investor enthusiasm for earnings from corporations including Merck & Co.

“Investors are clearly hyper-sensitive right now to things happening in Europe and Russia, and whether it’s worsening or not,” said Dan Greenhaus, chief global strategist at BTIG.

In a statement televised live Tuesday afternoon, President Barack Obama said the United States was expanding on measures announced two weeks ago, targeting Russian energy, defense and financial sectors as Russia has continued to support separatists in the Ukraine, and was still building up forces on its own border with Ukraine.

Obama’s statement followed European Union governments that announced sanctions earlier in the day to reduce Russia’s ability to tap into bank financing and advanced technology.

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