The iShares MSCI Italy (NYSEArca: EWI) staged a dramatic reversal to the downside in U.S. trading Monday as investors were glued to the latest headlines coming out of the country’s parliamentary elections.

“Projections from an early vote count in Italy’s election on Monday showed Silvio Berlusconi’s center right slightly ahead in the Senate, a result that could cause deep government instability if confirmed,” Reuters reported.

Monday’s sell-off exacerbated what has been a difficult February for the Italy ETF. The fund was down more than 10% for the trailing month heading into Monday’s violent about-face.

“With Democratic Party leader Pier Luigi Bersani’s center-left alliance reportedly leading in the lower house, a split could lead to a new round of elections or a potentially unwieldy coalition government,” MarketWatch reported Monday.

“Such a scenario would be the worst-case outlook for the future political development of the country as a hung parliament would be a guarantee of stillness both in terms of the economic program and structural reforms,” said Annalisa Piazza, an economist at brokerage firm Newedge, in the article.