Russian Opens Stock Market But With Limited Trading

Although with severe restrictions, Russia is up and running again in the stock market. Its time out of the stock market has led to Russia’s economic isolation and increase in its financial pressure.

Foreigners were unable to sell  stocks. Traders were barred from short selling or betting.

To combat the massive sell-off on February 24th in anticipation of Western sanctions, trading of a imited number of stocks took place.  Russian stocks were only a small part of emerging market share indexes even before the war and only for those with a high risk tolerance, given extensive cronyism, nontransparent accounting and widespread state interference. They lost any attraction for most foreign investors when the Moscow Exchange was dubbed “uninvestable” about a week into the war.

Russian government did its best to stabilize the country’s stocks and the ruble. The ruble had plunged in value.

Source: BCNN1