Story
MOEX Russia Index Flat at 3-Year Low Amid Broad Market Decline
Summary
Russia's benchmark stock index closed unchanged but reached a new three-year low, as significant losses in major companies like Polyus and VTB highlighted broad-based selling pressure.
Russia's benchmark MOEX Russia Index closed flat at the end of the trading session, a figure that masks significant underlying weakness across the market which pushed the index to a new three-year low.
According to closing data from the Moscow Stock Exchange, declining stocks significantly outnumbered advancers by a margin of 157 to 69, with 18 issues ending unchanged, indicating widespread negative investor sentiment.
Key Movers and Sector Pressure
The session's worst performers included several high-profile companies that fell to multi-year or all-time lows. The pressure was particularly evident among the following stocks:
- Polyus PJSC (MCX:PLZL) plummeted 4.92%, hitting a 5-year low.
- AFK Sistema PJSC (MCX:AFKS) declined 1.84%, also falling to a 5-year low.
- Bank VTB PJSC (MCX:VTBR) dropped 0.96% to reach an all-time low.
AdOn the upside, a few companies bucked the negative trend. Moskovskiy Kreditnyi Bank (MCX:CBOM) was a top gainer, rising 2.35%. Energy firm TATNEFT (MCX:TATN) and its preferred shares (MCX:TATN_p) also posted modest gains of 0.56% and 0.45%, respectively.
Volatility and Currency Weakness
Investor caution was reflected in the Russian Volatility Index (RVI), which measures the implied volatility of MOEX options. The RVI was unchanged at 46.01, a level that represents a new six-month high. This suggests that while the index itself was static, market participants are bracing for future price swings.
Meanwhile, the Russian ruble weakened against major currencies. The USD/RUB exchange rate rose 1.10% to 77.00, while the EUR/RUB gained 0.95% to 87.88. In global commodity markets, prices for key Russian exports also fell, with Brent crude oil declining 0.38% to $76.01 a barrel and Gold Futures falling 0.65%.