Russian stocks fell to a three-year low, with the Moscow Exchange Index dropping 2.45% on July 6.
Key facts
- •The Moscow Exchange Index fell 2.45% on July 6 to 2,187.83 points.
- •The index has not been below 2,200 points since February 27, 2023.
- •VTB, Inter RAO, and Transneft’s preferred shares were among the biggest decliners.
- •The market is being affected by the difficult geopolitical situation and the Central Bank’s tight monetary policy.
The Moscow Exchange Index fell 2.45% during trading on July 6, reaching 2,187.83 points. This is the first time the index has fallen below 2,200 points since February 27, 2023.
By the numbers
Market Decline
Among the biggest decliners were shares of VTB, Inter RAO, and Transneft’s preferred shares, which fell by 10.5%, 9.9%, and 8.4% respectively. According to Alfa Investments analyst Alexey Devyatov, the market is being affected by the difficult geopolitical situation and the Central Bank’s tight monetary policy.
Factors Affecting the Market
Devyatov noted that cheaper oil and a strong ruble are additional negative factors for the Russian stock market, affecting the revenues of exporters. He added that for now, there are no signs of a trend reversal in sight, so investors prefer to pull their money out of stocks.
Timeline
- July 6The Moscow Exchange Index fell 2.45% to 2,187.83 points.
- February 27, 2023The last time the Moscow Exchange Index was below 2,200 points.
- June 22The Moscow Exchange Index lost 4.23% in a single day, dropping to 2,318.28 points.
This article was independently rewritten by ManyPress editorial AI from reporting originally published by Meduza (English).
