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MOEX Russia Index Tumbles Over 2% to Three-Year Low on Sector-Wide Losses
Russian equities fell sharply at Friday's close, with the benchmark MOEX Russia Index tumbling 2.13% to a new three-year low. The decline was broad-based, driven by significant losses in the country's key mining, oil and gas, and power sectors, according to data from the Moscow Exchange.
Widespread Declines Hit Moscow
The sell-off reflected deeply negative investor sentiment, with declining stocks overwhelming advancers by a wide margin. According to market data, 175 companies saw their shares fall, compared to just 65 that posted gains, while 10 ended the session unchanged.
The drop pushed the MOEX index to a level not seen in three years, signaling sustained pressure on Russian-listed companies. The losses were most pronounced in the heavyweight natural resources and utilities sectors.
Mining and Energy Stocks Lead Decliners
Several major companies experienced steep declines, with some hitting multi-year or all-time lows. The session's worst performers included:
Ad- Polyus PJSC (PLZL): The gold miner's shares plunged 10.79% to reach a 5-year low.
- AK ALROSA PJSC (ALRS): The diamond producer declined 3.23%, falling to an all-time low.
- RusHydro PJSC (HYDR): The hydropower company's stock was down 2.76%, also marking a 5-year low.
A small number of companies bucked the trend, including steel producer Severstal PJSC (CHMF), which rose 1.00%, but these gains were not enough to offset the broader market weakness.
Volatility Rises as Ruble Weakens
Indicators of market stress also flashed warnings. The Russian Volatility Index (RVI), which measures implied volatility of MOEX options, climbed 1.05% to 46.01, a new six-month high. A rising RVI typically indicates increasing investor uncertainty and risk aversion.
In the currency markets, the Russian ruble weakened against major currencies. The USD/RUB pair rose 1.52% to 77.31, while the EUR/RUB gained 0.96% to 87.87, reflecting pressure on the domestic currency amid the equity market downturn.