Investors 'crushed' as Russia rout deepens and spreads

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By Francesca Young
10 Apr 2018

The sell-off in Russian bonds is battering emerging markets investors, who are seeing the biggest spread widening since sanctions were first imposed on the country in 2014. Not only have the bonds of freshly sanctioned Rusal tanked but other Russian companies are selling off as investors fear they may be next, and the rot is starting to spread to the wider central and eastern Europe region as well.

The US Treasury on Friday imposed a fresh set of sanctions on Russia, hitting seven of the country's oligarchs and 17 senior government officials. Twelve companies owned by the oligarchs, including Rusal, which has a $500m 4.85% 2023 bond outstanding, the state arms exporter and a bank ...

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