Russian stocks, ETFs get pummeled as Ukraine tensions escalate
The volatility come as the Ukraine has officially declared a 30-day state of emergency Wednesday and is urging its citizens to flee Russia
Marketplace ‘very volatile,’ investors don’t want to buy ETFs: Expert
Adviser Investments CIO Jim Lowell argues investors don’t want to purchase ETFs and suggests buying ‘inside basket’ in a ‘selective manner.’
Russian stocks and exchange traded-funds are taking a beating as tensions with the Ukraine continue to escalate.
STOCKS REVERSE, UKRAINE TARGET OF CYBER ATTACK
The Direxion Daily Russia Bull 3x Shares ETF, Franklin FTSE Russia ETF and iShares MSCI Russia Capped ETF each plunged as did the Vaneck Vectors Russia ETF during Wednesday's session.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| RUSL | n.a. | n.a. | n.a. | n.a. |
| FLRU | n.a. | n.a. | n.a. | n.a. |
| RSX | VANECK VECTORS RUSSIA ETF | 5.95 | +0.17 | +2.94% |
| ERUS | n.a. | n.a. | n.a. | n.a. |
As for stocks, state-owned bank Sberbank of Russia, U.S.-listed Russian companies Yandex N.V., Gazprom and Novatek PAO also fell along with PJSC Lukoil.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SBRCY | n.a. | n.a. | n.a. | n.a. |
| YNDX | YANDEX NV | 18.94 | -1.38 | -6.79% |
| OGZPY | n.a. | n.a. | n.a. | n.a. |
| NOVKY | n.a. | n.a. | n.a. | n.a. |
| LUKOY | OIL CO. LUKOIL PJSC | 6.96 | +0.00 | +0.00% |
Meanwhile, Russia's RTS, a free-float capitalization-weighted index of 50 Russian stocks traded on the Moscow Exchange, is down roughly 25% year-to-date with more volatility expected.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
On Wednesday, President Biden said in a statement that he has directed his administration to impose sanctions on Nord Stream 2 AG and its corporate officers.
"As I have made clear, we will not hesitate to take further steps if Russia continues to escalate," Biden said. "Through his actions, President Putin has provided the world with an overwhelming incentive to move away from Russian gas and to other forms of energy" he said.
This came after Ukraine officially declared a 30-day state of emergency Wednesday and is urging its citizens to flee Russia.
Russia emptied its diplomatic posts in Ukraine, state news agency Tass reported, a day after the Foreign Ministry announced a plan to evacuate, citing threats. By Wednesday afternoon, the Russian flag no longer flew over the Kyiv embassy, and police surrounded the building.
Ukrainian police officers stand guard in front of the Russian Embassy in Kyiv, Ukraine, Wednesday, Feb. 23, 2022. (AP Photo/Emilio Morenatti) (AP Newsroom)
In addition, Ukraine’s Minister for Digital Transformation Mykhailo Fedorov said a wave of denial-of-service attacks targeted official websites and some banks on Wednesday, affecting sites of the parliament, cabinet and Foreign Ministry offline and causing interruptions or delays to the sites of the defense and interior ministry, which controls the police.
CLICK HERE TO READ MORE ON FOX BUSINESS
On Tuesday, President Biden announced sanctions against Russia in response to what he called "the beginning" of their "invasion of Ukraine." Biden also authorized additional U.S. forces to the region, but maintained that the United States has "no intention" of fighting Russia.
Fox Business' Brooke Singman and The Associated Press contributed to this report.