MOEX Russia Index Tumbles 2.13% to 3-Year Low on Sector-Wide Losses

Russia's benchmark stock index slumped to a three-year low at Friday's close, as a widespread sell-off across the mining, energy, and power sectors weighed heavily on investor sentiment.

Broad-Based Sell-Off Hits Moscow

The MOEX Russia Index finished the trading session down 2.13%, marking its lowest closing level in three years. The decline was driven by broad-based weakness, with losses concentrated in the crucial Mining, Oil & Gas, and Power industries, according to data from the Moscow Stock Exchange.

Market breadth was decidedly negative, with 175 stocks falling compared to just 65 advancing issues, while 10 ended the day unchanged. Underscoring the rising investor anxiety, the Russian Volatility Index (RVI), which measures implied volatility in MOEX options, climbed 1.05% to a new six-month high of 46.01.

Mining and Energy Stocks Lead Decliners

Several major Russian commodity producers experienced steep declines, with some hitting multi-year or record lows. The session's worst performers were key players in the natural resources sector.

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• Polyus PJSC (PLZL): The gold mining company was the index's biggest loser, plummeting 10.79% to reach a 5-year low.
• AK ALROSA PJSC (ALRS): The diamond producer's shares dropped 3.23%, falling to an all-time low.
• RusHydro (HYDR): The hydro-generating company's stock fell 2.76%, also hitting a 5-year low.

Ruble Weakens Amid Commodity Declines

The equity market downturn coincided with softer prices for key commodities. Crude oil for August delivery fell 0.79% to $71.51 a barrel, while the September Brent oil contract shed 0.38%.

In the foreign exchange market, the Russian ruble weakened against major currencies. The USD/RUB exchange rate climbed 1.52% to 77.31, and the EUR/RUB pair rose 0.96% to 87.87.