In most cases, at least two think tanks, including the Atlantic Council, put their main characters on the new Russian black list released on Monday. But the news did not hurt the Russian market at all, and most articles accused the Trump administration of being weak against the inner circle of Vladimir Putin.
Today’s Russian securities outperformed everything.
Most of the lists, including Alexei Miller, CEO of Gazprom, Andrzej Costa, president of VTB, and Oleg Deripaska, the metals tycoon, are among the most recent U.S. State Department and Washington think tanks at “Black list” and “gray list”. The Treasury said the appearance on the list does not mean they are barred from traveling to the United States or doing business with the United States. The list itself is actually from the Kremlin website Who is who, often with Forbes list of billionaires Russian expert Leonid Bershidsky of Bloomberg pointed out this morning that basically Did not contact Putin.
It should not let anyone feel nervous in the marketplace.
BuzzFeed even forgot that the sanctions were based on the Ukrainian crisis and denounced Trump’s failure to punish Russia for “electoral intervention.” BuzzFeed’s article may further raise the subject of Trump-Russia collusion in a cable news show later in the evening. But for Americans’ favorite enemies, it is no longer as disgusting as investors did.
Trump barely passed the latest sanctions law this summer, noting that the election was meant to increase sanctions on Russia’s energy and banking giants. The law requires that the State Department, the Ministry of Finance and the Director of the National Intelligence Agency provide the parliament with a new list of individuals and provide further guidance on the sanctions on securities of sanctioned enterprises such as Russian sovereign bonds and Gazprom. The uncategorized part of the report is released today, including the Russian list, which will consider sanctions. Almost every chief executive of a state-controlled company is on the list, even though Herman Gref, chief executive of Sberbank, is considered by many foreigners to be a solid chief executive.
Analysts at Merrill Lynch, led by Bank of America analyst Boris Reyzelman in Moscow, wrote in a transaction today: “The key risk event is behind us.”
Investors worry the Treasury Department will announce sanctions on Russia’s sovereign debt and securities of companies subject to sanctions such as Gazprom and Sberbank.
David Semple, VanEck’s Global Fund Manager, refuses to accept that Russian Securities is a free sanctions drama. Some of the worse news may be buried in the classification section of the report.
“Russia has always been a challenging part of finding good investments, coupled with another layer of” opaque “corporate governance that further diminishes the attractiveness of investments.” Essentially, this list has not changed our approach but, May give portfolio managers more weight, stop thinking.
VanEck Russia Exchanges Exchange Fund attaches great importance to the sanctions of Russian entities. If sanctions, VanEck will no longer be able to buy these shares.
Treasury Secretary Steven Mnuchin said men on the list face real threats of sanctions. It has been reported that Mr. Mnuchin said: “There will be sanctions in this report.” He said they can issue in two or three months.
Apart from the $ 80 oil, Russia’s next positive factor is still a long way to go. It is an impossible long-range decision that depends on Congress’s lifting of sanctions.
But if the oil remains strong and the Russian economy looks like a downturn in the BRIC nations – Brazil – likely to grow by more than 2%, a credit escalation may be obtained.
Last week, Moody’s upgraded Russia’s rating outlook to “positive”, while S & P has been upbeat since last year. Both rating agencies said the uncertain sanctions outlook is a major constraint on positive ratings. This latest sanctions maintenance report may have made Russia a little more favorable.
Javier Sanchez, a fixed-income strategist at UniCredit SpA, said there was strong demand for a bond auction of 30 billion rubles ($ 534 million) on Wednesday. He quoted him as saying in today’s Bloomberg article: “The market has received good sanctions.
When asked, the State Department did not suggest the possibility of approving Russian sovereign bonds. The State Department only mentions sanctions on Russian defense contractors.
A spokesman for the State Department said: “We are using this legislation because the Congress intends to compel Russia to resolve our concerns about Ukraine’s aggression, interference in the internal affairs of other countries and human rights violations.” “Foreign and private-sector entities have been notified publicly and privately, including the State Department Officials at the highest levels and other U.S. government officials will cause sanctions if they make significant deals with Russian listed companies. ”
Some Ukrainian activists hope that Washington will add the names of Russians living in Donbas in eastern Ukraine to the list. They said that some people are profiting from the war, which is the initial source of sectoral sanctions. If these people are further punished, they may reduce their appetite for separatist movements.
Washington think tanks can not be completely satisfied. They want to see Putin’s friend, the name of Sergei Roldugin, a friend of the Panamanian file included in the new blacklist.
Former State Department official formulating Russian sanctions in 2014, Daniel Frieder, now a senior fellow at the Atlantic Council, told a think tank this afternoon that he felt “clumsy” about the “Ministry of Finance’s Kremlin report” Surprised. “He said the Trump administration has implemented the current Russian sanctions” in a responsible and credible “manner for the past year, but this time failed.
His colleague Anders Aslund even said that the Trump administration is still taking another hint at Putin.
The Treasury said the name on the list was “chosen from publicly available sources based on objective criteria,” Fried reiterated for the list of Forbes’ Russian billionaires who appeared to be the Clippers as reported this morning by Bloomberg and BuzzFeed.
He said: “I am confused because I have reason to believe that the government is actually taking the report seriously and has been working hard to compile a list of Putin’s power structures.” He said: “For reasons I can not understand, The government chose another course.