Russian stocks fall due to sanctions against Moscow for fear of Ukrainian invasion


Russia’s stocks fell on Monday, and rising tensions over the possibility of Russia’s invasion of Ukraine raised investors’ fear of sanctions against Moscow, causing the country’s currency to fall to its lowest level against the dollar in 14 months.

Risk-off sentiment initially dropped the MOEX Russia Index during the day on Monday by more than 7%, and the bailout rally regained its initial losses. By 9:12 am New York time, MOEX Was down About 5% at 3233.85.

Russia’s RTS Index after falling more than 8.5% in early Monday trading Was down By 9:17 am New York time, it is trading at about 6%, 1292.38.

Russian ruble pigeon By 8:55 am on January 24, 2% New York time against the US dollar was trading at about 78.83 against the greenback. This is the lowest level since November 2020.

To curb the ruble slip and reduce financial market volatility, the Russian central bank ordered a suspension of foreign currency purchases on Monday, regulators Said in a statement.

Instability has shaken the Russian market in recent weeks amid concerns that Moscow may be trying to invade neighboring Ukraine. The Kremlin has denied such a plan, but Western leaders are increasingly worried about the buildup of Russian troops near the border.

Danish officials said the European Union is ready to impose “unprecedented” economic sanctions if Russia attacks Ukraine.

Amid heightened tensions, the United States said on Sunday that it had ordered the families of US diplomats to leave Ukraine, allowing non-essential civil servants to leave the country voluntarily. The U.S. Embassy in Kiev, in a social media post, said the decision was “due to Russia’s continued efforts to destabilize the country and jeopardize the safety of Ukrainian citizens and others visiting or residing in Ukraine. “.

Foreign, Commonwealth of the United Kingdom (FCDO) Confirmed on Monday It had already begun to withdraw embassy staff and some of its dependents from Kiev because of the “increasing threat from Russia.”

British authorities Saturday said They had information that the Kremlin was planning to expel the Ukrainian government and replace it with the pro-Moscow government.

Britain’s Foreign Minister Liz Truss said in a statement that this information “illuminates the scope of Russia’s work designed to destroy Ukraine and is an insight into Kremlin’s thinking.”

Truss urged Russia to “escalate, end aggression and disinformation campaigns, and pursue a diplomatic path,” and “Russia’s military invasion of Ukraine is a major strategic mistake with serious costs. Will be, “repeated the British view.

The Kremlin denied Britain’s allegations and accused Western forces of creating tensions in the region.

Maria Zakharova, a spokeswoman for the Russian Ministry of Foreign Affairs, said in a statement on January 23 about Telegram, “Disinformation disinformation by the British Ministry of Foreign Affairs is in NATO countries led by Anglo-Saxons who are increasing tensions around Ukraine. It’s proof of something. ” “We call on the Foreign, Commonwealth Office to stop provocative activities and stop spreading nonsense.”

Russian officials claim that the country’s finances are sound and economic fundamentals remain strong.

Kremlin spokesman Dmitry Peskov blamed the defeat of the Russian market on western hysteria and told reporters, “The sooner the enemy stops hysterical action, the sooner this pessimistic mood will disappear. “.

Tom Ojimek

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Tom Ozimek has a broad background in journalism, deposit insurance, marketing and communication, and adult education. The best writing advice he has ever heard is from Roy Peter Clark.