July 11, 2026

Nothing to See Here...


Nothing to See Here...
The Russian Stock Market over the past 5 years. Trading Economics

As reported in a recent article by The Bell, Russia's stock market is in its longest losing streak since the Moscow Exchange index was created in 1997, falling for 17 straight weeks and losing nearly 23% of its value since the start of the year.

"On the day of [Russia's] invasion [of Ukraine – February 22, 2022]," The Bell notes, "the index collapsed by 33 percent and closed at 2,085 points — by Bloomberg's count, the third-largest single-day drop in the history of the world's stock exchanges (only Argentina in 1990 and Kazakhstan in 2002 were worse). 

A recent plunge left the index barely above the low it hit on the day Russia invaded Ukraine in February 2022 — meaning an investor who bought Russian stocks that day has earned almost nothing in more than four years.

The immediate trigger was the Central Bank's decision in June to cut its key interest rate by only a quarter point, less than markets expected, seen as a sign the bank still views the economy as risky. That decision compounded existing pressures: falling oil prices, a stronger ruble squeezing exporters' revenue, sanctions on Russian crude, the fuel crisis and a broader economic slowdown. The slide accelerated further after President Vladimir Putin said he saw no point in meeting Ukrainian President Volodymyr Zelensky, underscoring how closely investor sentiment tracks the war.

Kremlin officials have downplayed the rout as normal volatility and ruled out intervention. But dividend payouts are shrinking as high rates and falling commodity prices squeeze corporate profits, and retail investors who bought stocks earlier this year expecting a dividend rally have largely been burned. Bank deposits, state-guaranteed and paying 14-15% interest, remain far more attractive than equities; Russians hold roughly five times more money in deposits than in brokerage accounts. That money indirectly funds the war, since banks use deposits to buy government bonds covering a budget deficit driven partly by military spending. Putin's 2024 order to double stock market capitalization by 2030 now looks out of reach, with capitalization falling rather than rising since then and one senior central banker calling the target "almost impossible."

Separately, Russia's fuel crisis is worsening. Ukrainian drone strikes have hit refineries supplying a large share of national output, including, for the first time this week, the country's largest refinery, in Omsk. Gasoline production has fallen to roughly 65% of seasonal demand, forcing Russia to ban fuel exports and boost imports even as officials acknowledge shortages and long lines at gas stations. Sources close to the Kremlin told Reuters the strikes are only hardening Putin's resolve to keep fighting, with one saying he believes Russia can still capture the remainder of Donetsk region. Moscow has responded with intensified missile strikes on Ukrainian cities, chiefly Kyiv.

You Might Also Like

Like this post? Get a weekly email digest + member-only deals

Some of our Books

Woe From Wit (bilingual)
June 20, 2017

Woe From Wit (bilingual)

One of the most famous works of Russian literature, the four-act comedy in verse Woe from Wit skewers staid, nineteenth century Russian society, and it positively teems with “winged phrases” that are essential colloquialisms for students of Russian and Russian culture.

Russian Rules
November 16, 2011

Russian Rules

From the shores of the White Sea to Moscow and the Northern Caucasus, Russian Rules is a high-speed thriller based on actual events, terrifying possibilities, and some really stupid decisions.

The Little Humpbacked Horse
November 03, 2014

The Little Humpbacked Horse

A beloved Russian classic about a resourceful Russian peasant, Vanya, and his miracle-working horse, who together undergo various trials, exploits and adventures at the whim of a laughable tsar, told in rich, narrative poetry.

How Russia Got That Way
September 20, 2025

How Russia Got That Way

A fast-paced crash course in Russian history, from Norsemen to Navalny, that explores the ways the Kremlin uses history to achieve its ends.

Little Golden Calf
February 01, 2010

Little Golden Calf

Our edition of The Little Golden Calf, one of the greatest Russian satires ever, is the first new translation of this classic novel in nearly fifty years. It is also the first unabridged, uncensored English translation ever, and is 100% true to the original 1931 serial publication in the Russian journal 30 Dnei. Anne O. Fisher’s translation is copiously annotated, and includes an introduction by Alexandra Ilf, the daughter of one of the book’s two co-authors.

A Taste of Russia
November 01, 2012

A Taste of Russia

The definitive modern cookbook on Russian cuisine has been totally updated and redesigned in a 30th Anniversary Edition. Layering superbly researched recipes with informative essays on the dishes' rich historical and cultural context, A Taste of Russia includes over 200 recipes on everything from borshch to blini, from Salmon Coulibiac to Beef Stew with Rum, from Marinated Mushrooms to Walnut-honey Filled Pies. A Taste of Russia shows off the best that Russian cooking has to offer. Full of great quotes from Russian literature about Russian food and designed in a convenient wide format that stays open during use.

93 Untranslatable Russian Words
December 01, 2008

93 Untranslatable Russian Words

Every language has concepts, ideas, words and idioms that are nearly impossible to translate into another language. This book looks at nearly 100 such Russian words and offers paths to their understanding and translation by way of examples from literature and everyday life. Difficult to translate words and concepts are introduced with dictionary definitions, then elucidated with citations from literature, speech and prose, helping the student of Russian comprehend the word/concept in context.

Moscow and Muscovites
November 26, 2013

Moscow and Muscovites

Vladimir Gilyarovsky's classic portrait of the Russian capital is one of Russians’ most beloved books. Yet it has never before been translated into English. Until now! It is a spectactular verbal pastiche: conversation, from gutter gibberish to the drawing room; oratory, from illiterates to aristocrats; prose, from boilerplate to Tolstoy; poetry, from earthy humor to Pushkin. 

About Us

Russian Life is the 31-year-old publication of an award-winning publishing house that also creates books, and other products for Russophiles the world over.

Latest Posts

Our Contacts

Russian Life
73 Main Street, Suite 402
Montpelier VT 05602

802-223-4955