(CNBC) — U.S. stocks closed lower on Tuesday after President Donald Trump warned North Korea, saying that threats will be "met with fire and fury."
Trump made his remarks just hours after revelations Pyongyang has successfully created a miniaturized nuclear weapon designed to fit inside its missiles.
"The geopolitical tensions could be the catalyst for the market's direction in the next coming weeks depending on how it all shakes out," said Robert Pavlik, chief investment strategist at Boston Private. "If those talks keep escalating, the market will get nervous."
Advertisement - story continues below