Prosecutors say parties have agreed on $5 mln bond package for Steve Bannon

Steve Bannon appeared in court via video after being arrested at about 7:15 am on a yacht off the coast of Connecticut, it was said in court.

Bannon is accused of using money from his anti-immigrant group “We Build the Wall” on personal expenses.

He was brought to New York City several hours later.

Bannon’s lawyer entered a not guilty plea for the fraud charges he is facing.

Steve Bannon will be released on a $5 million bond, backed by $1.75 million in cash or real estate.

The former senior Trump adviser has until 3 September to get this collateral together.

Market implications

The arrest of Bannon is happening in the lead-up to the November 3 US presidential election and it is not a good look for the Trump campaign. 

The stock markets do not reward uncertainty when it comes to presidential elections.