Russia sees 20% drop this month

Recent developments in Russia’s stock market does not give any investor a reason to be happy about the market’s performance year to date. While the RTS has doubled since January first, the same index has fallen 20% just this month alone, emphasizing the high volatility in this emerging market as well as the lingering fears about troubles that could come Russia’s way.

Russian companies are facing $200bn in debt repayments this year and loans are still hard to come by as lenders fear the growth in the level of consumer debt debfaults.

See this graph from the FT showing both the performance of its main index as well as its currency, the rouble:

ft russia market

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s