Russia’s main stock index fell more than 2% on Monday as Ukrainian President Volodymyr Zelensky and European allies prepared for talks in Washington aimed at ending the war.
The Moscow Exchange index, which tracks about 40 of Russia’s largest companies, dropped to 2,945 points at the open. The RTS index slipped to 1,160.
Shares of energy giants Gazprom, Rosneft and Tatneft led the decline, along with shipping firm Sovcomflot and Bank St. Petersburg, all losing more than 3%.
Meanwhile, the ruble inched higher, rising 0.07% to 80.2 against the U.S. dollar, 0.09% to 93.83 against the euro and 0.10% to 11.17 against the Chinese yuan, according to Reuters data. Analysts predict the currency will likely remain volatile ahead of the Trump-Zelensky meeting later Monday.
The Russian market is also expected to face “heightened volatility” in the coming days amid uncertainty over ongoing talks on ending the war in Ukraine, said Yaroslav Kabakov, strategy director at the investment firm Finam.
If negotiations succeed, “active market participants are likely to start pricing in the prospect of future trilateral talks,” said BKS analyst Mikhail Zeltser, who predicted the MOEX could climb above 3,000.
U.S. President Donald Trump and Russia’s Vladimir Putin held a high-stakes summit in Alaska on Friday, though they failed to reach the landmark Ukraine peace deal that the American leader had been hoping for.
