Russian stocks rebounded on Monday, putting on their best-one day performance so far in just over two weeks and driving other emerging markets higher on hopes that Western sanctions may not be as severe as threatened and the conflict will not escalate further.
Still, investors are braced for more volatility and analysts warn that it’s not just Russia fogging up prospects for emerging markets.Crimea votes overwhelmingly to join RussiaCrimeans voted overwhelmingly on Sunday to break away from Ukraine and join Russia, according to preliminary results of a referendum that the West condemned as illegal.
Although the action was choppy, Russia’s blue-chip MICEX index jumped nearly 3% to 1,267.26, putting on the best daily gain so far since March 4, when it closed up over 5%. Gains stretched across the European emerging-market space, with the Turkey ISE National 30 index up 1.1% and Hungary’s BUX index adding 1.6%.
The Russian ruble eased moderately against the dollar and the euro .
Still, investors are braced for more volatility and analysts warn that it’s not just Russia fogging up prospects for emerging markets.Crimea votes overwhelmingly to join RussiaCrimeans voted overwhelmingly on Sunday to break away from Ukraine and join Russia, according to preliminary results of a referendum that the West condemned as illegal.
Although the action was choppy, Russia’s blue-chip MICEX index jumped nearly 3% to 1,267.26, putting on the best daily gain so far since March 4, when it closed up over 5%. Gains stretched across the European emerging-market space, with the Turkey ISE National 30 index up 1.1% and Hungary’s BUX index adding 1.6%.
The Russian ruble eased moderately against the dollar and the euro .