Russian equities lost some $259 billion after its military attacks on Ukraine spooked investors and drove its central bank to drive emergency action.
RUSL is down 48.05% premarket, while RTSI is down 38.11%.
- Russian stocks descended by 45% to mark the biggest drop on record, with the Russian debt insurance costs skyrocketing to an all-time high. The MOEX stock index plunged 35% on Thursday afternoon, with its biggest lender PJSC down 49%.
- The country’s currency also nosedived to its lowest level on record, but later recouped some losses. It was down as much as 9.4% versus the greenback, before trading 2.6% at 83.2525 per US dollar.
- The country’s sovereign bonds also plummeted with its credit-default swap premium surging over 750. Its 2033 dollar debt bled to bring the yield to 88%, with the currency market suspending and limiting daily cash withdrawals.
- The Russian central bank said it will boost bank liquidity by injecting 1 trillion rubles or $11.8 billion in an overnight repo auction, with the benchmark rate up by 512 basis points in the past 12 months amid the inflationary uptick.
Investors are looking out for more economic repercussions, and are monitoring whether Russia will be shut out of the global financial system.
Source: Bloomberg
