27 November 2025
The Russian stock market responded with its sharpest decline in a month to Vladimir Putin’s statements in Bishkek, where the Russian president refused to end hostilities without Ukraine’s surrender of the Donbas region and called an agreement with the current authorities in Kyiv “legally impossible.”
The Moscow Exchange Index closed Thursday’s main session down 1.76% (a record low since October 27), to 2621.3 points, losing over 100 billion rubles in market capitalization. As of 10:07 p.m. Moscow time, shares of Sberbank and Rosneft had fallen 1.6%, Gazprom by 1.9%, Sovcomflot by 1.7%, Novatek by 2%, and Norilsk Nickel and Aeroflot by 2.7%.
The market traded moderately lower throughout the day, but accelerated its decline by evening following Putin’s comments on Donald Trump’s peace plan, notes BCS analyst Alexander Shepelev. Putin stated that hostilities would cease when “Ukrainian troops withdraw from the territories they occupy,” and that signing any documents with Ukraine’s current leadership was “pointless” because it had “lost legitimacy.”
Compared to February, when the Kremlin was just beginning negotiations with the Trump administration, the Russian stock market fell 22%, losing 1.2 trillion rubles in terms of the Moscow Exchange index’s capitalization. Attempts to rally—amid the Anchorage meeting and news of a possible summit in Budapest—ended in a new wave of sell-offs.
The market decline reflects the economic crisis, notes Andrey Khokhrin, CEO of Ivolga Capital: growth rates in the country have slowed to near zero, civilian industries are mired in recession, and businesses of all sizes are accumulating overdue debts, unable to pay due to double-digit interest rates.
In the coming weeks, the market will remain hostage to geopolitics: if peace talks progress, the Moscow Exchange index could soar to 3,000 points—a 15% drop from current levels, predicts Igor Sokolov, an analyst at Alor Broker. If the peace agreement falls through again, the market will hit a new yearly low, the expert warns.
Now that German Gref the head of Sberbank has stated the ruble is officially trash, I don’t see mafia land carrying on much longer.