New York, Mar. 1, (dpa/GNA) – The New York Stock Exchange and NASDAQ have stopped trading several Russian firms’ shares following the most recent wave of sanctions against Moscow in the Ukraine conflict.
NASDAQ confirmed it had “temporarily halted the trading in five listed companies with Russian governance or financial affiliation,” while the NYSE said it did not comment on regulatory matters.
The trading stop affects search engine operator Yandex, online retailer Ozon Holdings, financial service provider Qiwi, the telecom group Mobile TeleSystems and the steel and coal producer Mechel.
No comment was initially available from the companies. So far they have only been temporarily suspended, not excluded from trading.
In the US, the Dow Jones Industrial fell by 0.43% at the close of trading in Europe, while the technology-heavy NASDAQ managed to turn positive.
The Dow Jones closed 0.49% lower at 33,892.60 points. The market-wide S&P 500 fell by 0.24%.
But the NASDAQ 100 index rose 0.34% to 14,237.81 points.
Across Europe, stock markets significantly reduced their daily losses on Monday.
In view of the Russian war against Ukraine and the tightened sanctions imposed by the West on Russia, uncertainty and nervousness were noticeable on the stock markets, but not panic, several market observers commented.
Germany’s DAX, which had lost a little more than 3% in the morning, ended trading with a relatively moderate 0.73% drop to 14,461.02 points.
Last Thursday, the leading German index had plummeted to almost 13,800 points as a result of the attack on Ukraine, before a noticeable recovery set in on Friday.
The MDax even closed 0.23%t up at 31,873.35 points on Monday.
The EuroStoxx 50 ended the day down 1.17% at 3,924.23 points, and losses were also stemmed in Paris and London.
Commenting on the EU sanctions, CMC Markets analyst Jochen Stanzl wrote that they were “balanced to maximize pressure on Russia and minimize damage to the West.”
And this seems to be succeeding, given the “relatively calm reaction” of investors. Nevertheless, the indirect consequences, for example on inflation due to the continued rise in energy prices, and the further interest rate and monetary policy of the central banks are hardly foreseeable at the moment, Andreas Lipkow of Comdirect emphasized.
Whether there will really be a first interest rate move in the US in March seems questionable.
European stocks initially fell on Monday after the Central Bank of Russia raised its key interest rate by 10.5 percentage points to 20% in response to Western sanctions.
A bank statement said that the move was designed to shield financial stability and protect the savings of citizens from depreciation.
The EU’s sanctions on the central bank took effect in the early hours of Monday, while Russian financial institutions’ exclusion from the SWIFT banking network was in the works.
In the morning, the rouble lost about 8% of its value against the dollar. As a result, $1 cost more than ever at around 90 roubles. The national currency plunged in foreign markets even further.
Later, Russia’s Central Bank barred traders from selling Russian securities held by foreigners. It has also announced capital injections and foreign currency transactions intended to support domestic financial institutions.
Asian markets mostly reopened weaker on Monday after President Vladimir Putin raised the prospect of a nuclear escalation with the West in the face of a barrage of unprecedented sanctions targeting his government and the Russian economy.
Japanese stocks fluctuated before ending slightly higher amid hopes that the planned talks between Russia and Ukraine at the Belarusian-Ukrainian border could lead to a ceasefire.
The Nikkei average rose 50.32 points, or 0.19%, to 26,526.82, while the broader Topix index closed 0.57% higher at 1,886.93.
Japan joined its partners in the Group of Seven (G7) nations by shutting Russia out of the SWIFT international transfer system – a key component of the sanctions packages announced by the United States and the European Union.
Chinese shares ended a choppy session modestly higher, led by gains in energy and material stocks.
The benchmark Shanghai Composite index rose 10.90 points, or 0.32%, to 3,462.31 while Hong Kong’ Hang Seng index dipped 0.24% to close at 22,713.02.
GNA