Russian markets tumble as Trump tariffs and oil price hit
The Russian stock market experienced its worst week in over two years due to tariffs imposed by Donald Trump and falling oil prices. The value of companies on the Moscow stock exchange declined by 2 trillion rubles (CAD 33 billion) over two days, reports "The Moscow Times."
The Russian stock market is facing challenging times, reports "The Moscow Times." This situation results from global tariffs imposed by U.S. President Donald Trump and a drop in crude oil prices. The market capitalization of companies listed on the Moscow exchange decreased by about 2 trillion rubles (CAD 33 billion) in just two days.
The MOEX index, which tracks the 43 largest Russian companies, lost 8.05 percent over the week, marking the worst performance since September 2022, notes The Moscow Times.
On Friday, stocks of major companies such as Sberbank, Gazprom, and Rosneft experienced significant declines. Experts from J.P. Morgan have raised the probability of a global recession to 60 percent.
Impact on oil
Trump's tariffs have led to a drop in commodity prices, including Brent crude oil, which fell by 12 percent over two days.
Russian Urals oil is now priced below $60 (CAD 85) per barrel, which could impact the state budget and the value of the ruble.
Analysts suggest that progress in peace talks could improve the situation, but currently, there are no signs of compromise from Russia.
