Economic news

Russian stocks shrug off threats of new sanctions, roubles steadies

2022.04.06 11:41

Russian stocks shrug off threats of new sanctions, roubles steadies
FILE PHOTO:A board with the logo is on display outside the office of the Moscow Exchange in the capital city of Moscow, Russia March 24, 2022. REUTERS/Maxim Shemetov

(Reuters) – Russian stock indexes returned to gains after a short-lived slide in early trade on Wednesday, shrugging off threats of new western sanctions in response to what Moscow calls “a special military operation” in Ukraine, while the rouble stabilised.

Equities largely lost ground at the opening on reports that the United States and its allies had prepared new sanctions on Moscow that will target Russian banks and officials and ban new investment in Russia.

An EU official said the European Union will also have to introduce measures against imports of Russian oil and even gas at some point as a way to pressure Moscow.

The dollar-denominated RTS index fell to 979.34 points before paring losses and adding 0.4% on the day to 1,008.9 points by 0749 GMT.

Its rouble-based MOEX Russian index also gained 0.4% to 2,674.1, still trading far away from an all-time high of 4,292.68 it reached in October.

The Russian stock market is driven by negative sentiment caused by news on new western sanctions, Sinara investment bank said in a note.

But the downside for the Russian market could be limited as the government has promised to support Russian companies by buying their stocks with money channelled from the rainy-day National Wealth Fund.

Shares in Russia’s oil producer Lukoil climbed 3.5% higher, outperforming the broader market. Its peer Gazprom (MCX:GAZP) Neft added 2.5%.

Banks were in the red, with the two major state-owned lender Sberbank and VTB loosing 2.2% and 3.4%, respectively.

The Russian rouble was little changed on the day at 83.42 to the dollar and gained 1.1% to trade at 90.52 versus the euro, near the levels seen before Russia sent tens of thousands of troops to Ukraine on Feb. 24.

Weekly inflation data will be in focus later in the day. If inflation shows signs of slowing, it may raise chances of a rate cut by the central bank at its next board meeting in late April. The latter could be positive for OFZ treasury bonds.

“At the same time, geopolitical risks and rouble volatility limit the probability of this scenario,” Promsvyazbank said in a note.

For Russian equities guide see

For Russian treasury bonds see

Source

Related Articles

Leave a Reply

Back to top button
bitcoin
Bitcoin (BTC) $ 69,927.74 2.29%
ethereum
Ethereum (ETH) $ 2,469.43 0.71%
tether
Tether (USDT) $ 1.00 0.10%
bnb
BNB (BNB) $ 567.98 1.87%
solana
Solana (SOL) $ 166.85 2.67%
usd-coin
USDC (USDC) $ 1.00 0.02%
xrp
XRP (XRP) $ 0.512588 0.58%
dogecoin
Dogecoin (DOGE) $ 0.177074 14.00%
staked-ether
Lido Staked Ether (STETH) $ 2,466.69 0.66%
tron
TRON (TRX) $ 0.162145 1.40%
cardano
Cardano (ADA) $ 0.334893 2.26%
the-open-network
Toncoin (TON) $ 4.67 3.03%
shiba-inu
Shiba Inu (SHIB) $ 0.000018 8.47%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,919.92 0.65%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 69,637.66 2.10%
avalanche-2
Avalanche (AVAX) $ 24.01 2.84%
weth
WETH (WETH) $ 2,468.17 0.66%
bitcoin-cash
Bitcoin Cash (BCH) $ 343.34 1.85%
chainlink
Chainlink (LINK) $ 10.84 3.41%
sui
Sui (SUI) $ 2.03 8.49%
leo-token
LEO Token (LEO) $ 6.03 0.39%
usds
USDS (USDS) $ 1.00 0.40%
polkadot
Polkadot (DOT) $ 3.90 2.98%
litecoin
Litecoin (LTC) $ 66.50 0.28%
near
NEAR Protocol (NEAR) $ 3.91 6.38%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,596.04 0.74%
aptos
Aptos (APT) $ 8.55 5.47%
uniswap
Uniswap (UNI) $ 7.17 4.05%
pepe
Pepe (PEPE) $ 0.000009 4.56%
internet-computer
Internet Computer (ICP) $ 7.34 1.93%
bittensor
Bittensor (TAO) $ 448.79 5.30%
dai
Dai (DAI) $ 0.999816 0.14%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 1.26 10.17%
monero
Monero (XMR) $ 161.04 0.37%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.19%
stellar
Stellar (XLM) $ 0.093091 1.31%
kaspa
Kaspa (KAS) $ 0.109526 3.99%
whitebit
WhiteBIT Coin (WBT) $ 19.07 0.83%
ethereum-classic
Ethereum Classic (ETC) $ 18.22 2.42%
first-digital-usd
First Digital USD (FDUSD) $ 1.00 0.06%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.305276 3.24%
blockstack
Stacks (STX) $ 1.56 6.00%
okb
OKB (OKB) $ 37.83 0.37%
dogwifcoin
dogwifhat (WIF) $ 2.15 6.71%
filecoin
Filecoin (FIL) $ 3.41 1.30%
aave
Aave (AAVE) $ 132.72 2.13%
crypto-com-chain
Cronos (CRO) $ 0.072406 0.86%
arbitrum
Arbitrum (ARB) $ 0.492457 2.45%
mantle
Mantle (MNT) $ 0.56366 0.36%
immutable-x
Immutable (IMX) $ 1.10 3.00%