Looking ahead, observers are remain cautious over the market outlook. While President Vladimir Putin and other Russian politicians argue that the worst is over, the economy is expected to remain in a recession for the year. Investors are also expressing concern regarding one of Russia’s worst recessions in the post-Soviet era.
“Russia is beset by its first recession since 2009 after energy prices fell and sanctions linked to the Ukraine conflict curbed international financing. The nation’s slump deepened in the second quarter as gross domestic product contracted 4.4 percent from a year earlier after a 2.2 percent drop in the first three months of the year,” according to Bloomberg.
To its credit, RSX is up more than 13% this year, but most of those gains were accrued early in the year. The ETF is off nearly 18% over the past 90 days.
Market Vectors Russia ETF
