Moscow Exchange index closes about 1% lower after Putin-Witkoff meeting
In short
The Moscow Exchange index closed 21 October at 2,446.87 points, down 0.9%, after an early rise on talk of a possible Russia-US-China summit. Interfax and Kommersant linked the fall to profit-taking after Vladimir Putin's meeting with US envoy Steve Witkoff produced no significant statements.
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The Moscow Exchange index fell on 21 October after the meeting between Russian President Vladimir Putin and US special envoy Steve Witkoff. Interfax reported that the index closed the main session at 2,446.87 points, down 0.9%, while the RTS index stood at 940.32 points, up 0.2%. Kommersant said the index closed near 2,446 points, 1% lower than the day before. [ 3 , 4 ]
Vedomosti reported that the index first rose after presidential spokesman Dmitry Peskov said Russia, the US and China allow a trilateral summit. It reached 2,473.73 points at its high, then lost the gain in 20 minutes and fell to a daily low of 2,434.55. At 16:52 Moscow time it stood 1.42% below the previous close. RBC's headline put the fall at 1.7%. Interfax described a morning rise above 2,480 points. [ 1 , 2 , 3 ]
Kommersant gave a different account of the start of trading, saying selling began from the open after the Putin-Witkoff meeting was announced. It said the large-scale sell-off came in the second half of the day, after the meeting ended and Witkoff left. In half an hour the index fell 1.6% to 2,428 points, on volume of 13 billion rubles, almost 10% of the day's total. [ 4 ]
Kommersant said investors reacted to the lack of significant statements after three hours of talks. Alexander Golovtsov of UK PSB said traders had expected positive statements. Natalia Malykh of Finam said the rule of buying on rumours and selling on facts applied. Nikita Bredikhin of Go Invest said any cooling of rhetoric acts as a trigger for profit-taking. Kommersant added that the index had risen 10% since the start of the month on optimism about Russia-US relations. [ 4 ]
Among individual stocks, Polyus fell most, by 3.5% according to Interfax and 3.28% according to Vedomosti. Severstal, NLMK and MMK also lost more than 2%, while Inter RAO rose about 3%. Interfax also cited a weaker oil price, with December Brent falling to $108 a barrel in the evening, and a stronger rouble. [ 2 , 3 ]
Peskov said there are no specific agreements yet on a trilateral meeting, which Vedomosti linked to the APEC summit on 18-19 November in Shenzhen. According to Interfax, he also said that a settlement of the Ukraine conflict is impossible without someone in Kyiv making a decision, and that Russia wants peace, not a truce. [ 2 , 3 ]
Why it matters
The outlets say the index had risen about 10% since the start of the month on expectations of better Russia-US relations. Their accounts show how sensitive the market was to news from the talks.
Key facts
- The Moscow Exchange index closed the main session at 2,446.87 points, down 0.9%, according to Interfax; Kommersant put the fall at about 1%. [ 3 , 4 ]
- The RTS index closed at 940.32 points, up 0.2%. [ 3 ]
- Polyus shares were among the largest decliners (-3.5% per Interfax), followed by Severstal, NLMK and MMK; Inter RAO shares rose 3.1%. [ 2 , 3 ]
- Kommersant said the index fell 1.6% to 2,428 points in half an hour after the meeting ended and Witkoff left, on trading volume of 13 billion rubles. [ 4 ]
- Dmitry Peskov said Russia, the US and China allow a trilateral summit, with no specific arrangements yet. [ 2 ]
- Interfax reported that December Brent futures fell to $108 a barrel in the evening after trading above $111 earlier in the day. [ 3 ]
Confirmed by several sources
Still unclear
- The size of the day's fall differs between reports. RBC's headline says 1.7%, Vedomosti's 16:52 figure was 1.42% below the previous close, while Interfax gives -0.9% and Kommersant about 1% at the close.
- How the session began is described differently. Vedomosti and Interfax say the index rose in the morning, to 2,473.73 points (Vedomosti) or above 2,480 (Interfax), while Kommersant says selling began from the open after the meeting was announced.
- Why the market fell is attributed to analysts and outlets, not established. Interfax and Kommersant cite profit-taking after a meeting that brought no significant statements; Interfax also cites a weaker oil price and a stronger rouble.
- What was discussed at the Putin-Witkoff talks is not stated in the documents. Kommersant says there were no significant statements after the three-hour talks.
- Peskov said Russia, the US and China allow a trilateral summit, with no specific agreements on organising it yet; Vedomosti linked the idea to the APEC summit on 18-19 November in Shenzhen. Reported by a single source so far
What local media are saying
Timeline, local time
- Vedomosti gave the index at 2,434.75 points, 1.42% below the previous close, after a high of 2,473.73. [ 2 ]
- RBC reported the index fell 1.7% after rising on news of trilateral talks. [ 1 ]
- Interfax reported the index below 2,450 points after the meeting. [ 3 ]
- Kommersant reported the index closed near 2,446 points, 1% lower on the day. [ 4 ]