ÐÇ¿Õ´«Ã½

Business

    • Russian stock market, crushed by war, opens with big limits

    Share
    NEW YORK -

    The Russian stock market opened Thursday for limited trading under heavy restrictions for the first time since Moscow invaded Ukraine, coming almost a month after prices plunged and the market was shut down as a way to insulate the economy.

    Trading of a limited number of stocks, including energy giants Gazprom and Rosneft, took place under curbs meant to prevent a repeat of the massive selloff on Feb. 24 that came in anticipation of Western economic sanctions.

    The significant restrictions on trading Thursday underlined Russia's economic isolation and the pressure on the financial system.

    despite central bank efforts to curb market plunges. Foreigners could not sell stocks, and traders were barred from short selling -- or betting prices will fall -- while the government has said it will spend $10 billion on shares in coming months, a move that should support prices.

    The benchmark MOEX index gained 4.4% as some companies partially recovered losses from the plunge on the day of the invasion. Airline Aeroflot bucked the positive trend by losing 16.4% -- not a surprise after the U.S., European Union and others banned Russian planes from their airspaces.

    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.

    "The stock market is really almost a sideshow at this point," said Chris Weafer, CEO at Macro-Advisory Ltd., a consulting firm. "It's more a sentiment indicator because obviously companies are not raising any money on the stock market, and they won't be able to."

    He said, however, that state-owned banks or funds may have been buying to support prices: "It does look like state-supported buying rather than any genuine interest on the part of investors."

    Government efforts to stabilize stocks and the ruble that has plunged in value are a way to show that some confidence was returning and "to try to get that message across to people not to panic, that this is a temporary situation that will improve," Weafer said. Nonetheless, he added, the Russian financial system remained in a "fragile" state.

    Tim Ash, senior emerging markets sovereign strategist at BlueBay Asset Management, said reopened trading was "deeply managed" and suggested that "for those Russians with some spare cash, there is nothing much else to buy as hedge to inflation and currency collapse."

    Restrictions like shutting down and restricting the stock market are among those that Russia has taken to shore up the financial system against utter collapse, but they also close off the economy to trade and investment that could fuel growth.

    Some foreign hedge funds have expressed interest in shopping for distressed assets -- viable companies trading at knocked-down prices -- but they have no way to take part because of the trading restrictions, Weafer said.

    A U.S. official called the severely restricted trading a "charade."

    "This is not a real market and not a sustainable model, which only underscores Russia's isolation from the global financial system," Daleep Singh, a deputy national security and economic adviser to President Joe Biden, said in a statement.

    The economic turmoil in Russia from sanctions and the war has been severe. Hundreds of U.S., European and Japanese companies have pulled out of Russia. There have been bank runs and panic buying of sugar and other staples. The exchange rate of Russia's ruble has tumbled.

    Outside Russia, the reopening of stock trading on the Moscow Exchange has little impact, including on the vast majority of U.S. investors' portfolios, said Leanna Devinney with Fidelity Investments.

    The exchange's market capitalization -- about $773 billion at the end of last year, according to the World Federation of Exchanges -- is a fraction of that of major Western or Asian markets. In comparison, the total of all equities on the New York Stock Exchange is roughly $28 trillion.

    Russia's central bank estimates that retail investors owned roughly 7.7 trillion rubles of stock, equal to $79 billion, as of late 2021.

    Stocks last traded in Moscow on Feb. 25, a day after the MOEX sank 33% after Russian forces invaded Ukraine. Russia restarted trading in ruble-denominated government bonds earlier this week.

    Roughly a week into the conflict, Russia was removed from emerging markets indexes compiled by MSCI after it determined the market to be "uninvestable."

    The London Stock Exchange suspended trading in shares of 27 companies with links to Russia on March 3, including some of the biggest in energy and finance. The shares lost most of their value before that: Rosneft dropped from $7.91 on Feb. 16 to 60 cents on March 2. Sberbank plunged from $14.90 to 5 cents.

    Get in touch

    Do you have both Ukrainian and Russian family members? How are you handling the crisis? Email dotcom@bellmedia.ca.

    • Please include your name, location, and contact information if you are willing to speak to a journalist with CTV News.
    • Your comments may be used in a CTVNews.ca story.

    Correction

    This story has been corrected to show that MSCI is no longer a division of Morgan Stanley.

    CTVNews.ca ÐÇ¿Õ´«Ã½

    Since she was a young girl growing up in Vancouver, Ginny Lam says her mom Yat Hei Law made it very clear she favoured her son William, because he was her male heir.

    The search for a missing six-year-old boy in Shamattawa is continuing Friday as RCMP hope recent tips can help lead to a happy conclusion.

    BREAKING

    BREAKING

    A 15-year-old boy who was the subject of an emergency alert in New Brunswick has been arrested.

    An Ontario man says it is 'unfair' to pay a $1,500 insurance surcharge because his four-year-old SUV is at a higher risk of being stolen.

    Canada

    • The search for a missing six-year-old boy in Shamattawa is continuing Friday as RCMP hope recent tips can help lead to a happy conclusion.

    • BREAKING

      BREAKING

      A 15-year-old boy who was the subject of an emergency alert in New Brunswick has been arrested.

    • For the last seven-and-half months, Toronto resident Heather McArthur has been living out what she describes as her 'worst nightmare.' On Feb. 7, her then three-year-old son Jacob along with his father Loc Phu 'Jay' Le departed for what was supposed to be a week-long visit to Vietnam to celebrate the Lunar New Year with family, McArthur says.

    • BREAKING

      BREAKING

      Michael Ford, Ontario's minister of citizenship and multiculturalism, says he is taking a leave of absence from cabinet to prioritize his health.

    • Emergency crews in northern Ontario found the bodies of four people inside a home where a fire broke out Thursday night.

    • Since she was a young girl growing up in Vancouver, Ginny Lam says her mom Yat Hei Law made it very clear she favoured her son William, because he was her male heir.

    World

    Politics

    Health

    • A Nova Scotia woman has applied for a medically assisted death, saying after years of battling to receive out-of-country surgery for an illness that causes 'indescribable' pain, she struggles to maintain the will to live.

    Sci-Tech

    Entertainment

    • It will be the last show for longtime children's TV star Ron (Buck Shot) Barge as a memorial is held Friday in Calgary.

    • Viewers of Jeopardy got a chance to test their knowledge of trivia about B.C.'s biggest city Wednesday night.

    Business

    Lifestyle

    Sports

    • Agreement in principle has been reached to build a new NHL arena at LeBreton Flats has been reached between the Ottawa Senators and the National Capital Commission (NCC), the two sides announced Friday.

    • F1 star Max Verstappen punished over bad word

      Formula One points leader Max Verstappen was ordered to 'accomplish some work of public interest' after uttering an inappropriate word Thursday at the news conference ahead of the Singapore Grand Prix.

    • The Winnipeg Jets have some huge holes to fill on both offence and defence this season.

    Autos

    Local Spotlight

    They say a dog is a man’s best friend. In the case of Darren Cropper, from Bonfield, Ont., his three-year-old Siberian husky and golden retriever mix named Bear literally saved his life.

    A growing group of brides and wedding photographers from across the province say they have been taken for tens of thousands of dollars by a Barrie, Ont. wedding photographer.

    Paleontologists from the Royal B.C. Museum have uncovered "a trove of extraordinary fossils" high in the mountains of northern B.C., the museum announced Thursday.

    The search for a missing ancient 28-year-old chocolate donkey ended with a tragic discovery Wednesday.

    The Royal Canadian Mounted Police is celebrating an important milestone in the organization's history: 50 years since the first women joined the force.

    It's been a whirlwind of joyful events for a northern Ontario couple who just welcomed a baby into their family and won the $70 million Lotto Max jackpot last month.

    A Good Samaritan in New Brunswick has replaced a man's stolen bottle cart so he can continue to collect cans and bottles in his Moncton neighbourhood.

    David Krumholtz, known for roles like Bernard the Elf in The Santa Clause and physicist Isidor Rabi in Oppenheimer, has spent the latter part of his summer filming horror flick Altar in Winnipeg. He says Winnipeg is the most movie-savvy town he's ever been in.

    Edmontonians can count themselves lucky to ever see one tiger salamander, let alone the thousands one local woman says recently descended on her childhood home.

    • New Democrat Leader David Eby has launched his British Columbia election campaign a day early, making the key battle ground of Surrey his first stop.

    • The seats from a stolen e-bike that was customized for a Surrey, B.C., child with complex health needs have been recovered – but the bike itself has yet to be found.

    • Thousands of protesters are expected to march into downtown Vancouver on Friday, demanding more action from their government to address the growing climate crisis.

    • BREAKING

      BREAKING

      Michael Ford, Ontario's minister of citizenship and multiculturalism, says he is taking a leave of absence from cabinet to prioritize his health.

    • The Ford government is considering restricting Ontario municipalities from installing new bike lanes that would require the removal of lanes of traffic, a source confirms to CTV News Toronto.

    • For the last seven-and-half months, Toronto resident Heather McArthur has been living out what she describes as her 'worst nightmare.' On Feb. 7, her then three-year-old son Jacob along with his father Loc Phu 'Jay' Le departed for what was supposed to be a week-long visit to Vietnam to celebrate the Lunar New Year with family, McArthur says.

    • It will be the last show for longtime children's TV star Ron (Buck Shot) Barge as a memorial is held Friday in Calgary.

    • China's ongoing ban on Canadian beef appears to have no end in sight, making it a textbook example of the uncertainty Canadian exporters continue to face in that market.

    • Alberta Health Services says an E. coli outbreak at a daycare in Blackfalds has ended.

    • Agreement in principle has been reached to build a new NHL arena at LeBreton Flats has been reached between the Ottawa Senators and the National Capital Commission (NCC), the two sides announced Friday.

    • Maplewood Secondary School is scheduled to open Monday after receiving a permit Friday morning allowing 50 per cent of the building to be occupied.

    • Ottawa Fire Services says a driver has been safely extricated after being trapped following a two-vehicle collision near a high school in the city’s south end.

    • The Montreal couple from Mexico and their three children facing deportation have received a temporary residence permit.

    • The province's public security minister said he was "shocked" Thursday amid reports that a body believed to be that of a 14-year-old boy was found this week near a Hells Angels hideout near Quebec City.

    • A man who asserted his right to work in French has won his case before the Tribunal, invoking the new provisions of the province's French-language law (Bill 96) to that effect.

    • Mounties say there was an increased police presence in the Emerald Hills area of Sherwood Park on Friday morning as officers searched for a man who is wanted by police.

    • Alberta Health Services says an E. coli outbreak at a daycare in Blackfalds has ended.

    • One person has been charged and an arrest warrant has been issued for a second in connection with an Alberta Emergency Alert earlier this week.

    • BREAKING

      BREAKING

      A 15-year-old boy who was the subject of an emergency alert in New Brunswick has been arrested.

    • A Nova Scotia woman has applied for a medically assisted death, saying after years of battling to receive out-of-country surgery for an illness that causes 'indescribable' pain, she struggles to maintain the will to live.

    • A black bear that was tranquilized in a park in Dartmouth, N.S., has been released back into the wild, according to the Nova Scotia Department of Natural Resources and Renewables (DNRR).

    • The search for a missing six-year-old boy in Shamattawa is continuing Friday as RCMP hope recent tips can help lead to a happy conclusion.

    • A Manitoba veterinary clinic has two new ways of figuring out what’s causing a horse to be lame.

    • Manitoba's government says it will encourage the development of renewable energy in the province while acknowledging fossil fuels aren't going away any time soon.

    • Arguments between UR Pride and the Government of Saskatchewan on the Parents’ Bill of Rights will be moving ahead to the Court of Appeal for Saskatchewan beginning on Monday, Sept. 23.

    • Driving into the tunnels of Nutrien's Rocanville mine, the largest potash mine in the world by production volume, feels like driving down a lonely highway in the middle of the night.

    • Levels of hydrogen sulfide gas are being monitored at Brantford Collegiate Institute after a leak in their geothermal system.

    • Ontario police say they have arrested four members of the Hells Angels Motorcycle Club (MC) and seized a number of firearms after an alleged assault and robbery in Hamilton in July.

    • The second-degree murder trial of Thomas Hamp is being adjourned until December so an expert witness central to the trial can testify.

    • A 69-year-old woman from Outlook, Saskatchewan is dead and three people are injured after a truck and SUV collided on Highway 15 on Thursday.

    • A gym teacher at a private Christian school in Saskatoon has been charged. Terra MacEwan, 44, is charged with assault with a weapon. A Saskatoon mother who spoke with CTV News says her autistic son was MacEwan's victim.

    • Emergency crews in northern Ontario found the bodies of four people inside a home where a fire broke out Thursday night.

    • Since she was a young girl growing up in Vancouver, Ginny Lam says her mom Yat Hei Law made it very clear she favoured her son William, because he was her male heir.

    • Two people emerged unhurt after a float plane had a hard landing late Friday morning on Lake Temiskaming.

    • The Elgin Community Health Hub, operated by the Thames Valley Family Health Team, is accepting new patients to a model where doctors are rarely seen.

    • Members of the 2SLGBTQ+ community and supportetrs greatly outnumbered the people attending a '1 Million March 4 Children' event along Central Avenue.

    • Today, the 71 year old is marking 50 years a paramedic. He said he never aspired to move into management or a desk job, he enjoys being on the road, helping patients too much.

    • Two men from Barrie have been charged after a deadly shooting at a park in Keswick on Wednesday.

    • Provincial police are investigating vandalism in Huntsville after the "senseless destruction" of flower displays along Main Street East.

    • A 17-year-old from Markham is facing serious charges after an August 11 shooting at a party in Caledon.

    • Windsor police say a 25-year-old mother has been charged with the drowning death of her 5-year-old child in the family’s backyard pool.

    • There is no threats to public safety following an incident involving a gun at a local high school.

    • A LaSalle couple has won $1 million after buying a ticket for the Aug. 13 LottoMax draw.

    • New Democrat Leader David Eby has launched his British Columbia election campaign a day early, making the key battle ground of Surrey his first stop.

    • The Old Man Lake wildfire near Sooke is the only one currently burning on Vancouver Island. It’s a region of the province that this year saw a drastic drop in blazes in the backcountry.

    • The Nuu-chah-nulth Tribal Council (NTC) has declared a state of emergency in all 14 of its member First Nations due to a mental health and opioid crisis.

    • A pair of runaway pigs are in the custody of an animal sanctuary in the Okanagan after evading police and volunteers for hours earlier this week.

    • The Red Bridge, a historic landmark in Kamloops, B.C., was completely destroyed by fire early Thursday morning.

    • Animal protection officers in British Columbia have rescued three pit bulls – including one that gave birth to 10 puppies – from a rat-infested home in Kelowna.

    • A Vulcan, Alta., man has been charged with a Lethbridge woman's murder after her body was found in the Oyen area.

    • A Lethbridge couple got a good reminder as to why you should keep your vehicle doors locked at all times.

    • Lethbridge residents who live near the police range can expect to hear plenty of shots fired Wednesday and Thursday.

    • Ontario Provincial Police say three suspects from southern Ontario have been charged and drugs worth $300,000 have been seized following a traffic stop Sept. 16.

    • A Brampton driver, 27, was charged this week when northern Ontario police stopped the SUV he was driving on Highway 17 after a reported shooting and found more than $100,000 in cash.

    • A new community health profile in the Algoma District shows the area is significantly below provincial averages in a number of health metrics.

    N.L.

    Shopping Trends

    The Shopping Trends team is independent of the journalists at CTV News. We may earn a commission when you use our links to shop. Read about us.

    Stay Connected
    Follow CTV News