Markets plunge but strategists don't see bear market

Markets plunged on Thursday as geopolitical tension showed no sign of easing.

The S&P 500 fell 1.5 percent, the STOXX Europe 600 fell 1 percent and the MSCI Emerging Market Index fell 1.4 percent.

Government bonds rose. The US 10-year Treasury yield fell five basis points to 2.20 percent and the German 10-year yield fell two basis points to 0.41 percent.

“The markets in general are very on edge and they’re very leery about risk,” said Mariann Montagne, a portfolio manager at Gradient Investments LLC.

CNBC reported that many stock strategists see the possibility of a 5 percent correction for the US stock market but do not see the current selloff turning into a bear market.

“We don't think this is a bear market,” said Julian Emanuel, equity and derivatives strategist at UBS.

Sam Stovall, chief investment strategist at CFRA, said that economic and financial indicators “all tell me now we're not near a recession”.