Russian Stocks Rise to Three-Month Highs Ahead of Trump-Putin Meeting

Russian stocks climbed to their highest level in over three months on Monday amid hopes that this week’s meeting between Donald Trump and Vladimir Putin might bring Moscow and Kyiv closer to a ceasefire.

Markets in Russia have been particularly volatile over the past two weeks since Trump set an August 8 deadline for Russia to agree to peace in Ukraine or face tightened sanctions.

However, since Thursday, the Moscow Exchange index – which tracks around 40 of Russia’s largest companies – has surged 8.3%, adding roughly 465 billion rubles (€5.1 billion) in market capitalization, Reuters reported, citing spot foreign exchange market data.

On Friday, the day the planned summit in Alaska was announced, the index climbed to 2,996.4 points, reaching levels not seen since early April.

Shares of companies most affected by Western sanctions have led the gains. On Monday, titanium giant VSMPO-AVISMA jumped 10%, steel corporation Severstal rose 4.4% and national flag carrier Aeroflot gained 3.3%.

Similarly, Russia’s state-owned energy giant Gazprom’s shares soared 16% over the past week.

All eyes on Alaska

“The main optimism among traders is driven by the upcoming meeting of the Russian and U.S. presidents on August 15, with investors hoping for progress toward de-escalating the military conflict and potential easing of some sanctions,” Vladimir Chernov, an analyst at Freedom Finance Global, told Russian independent news outlet The Moscow Times.“Everyone is anticipating a breakthrough in Russia-U.S. relations and the start of resolving the Ukraine conflict,” he added.

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President Volodymyr Zelensky said ballistic missiles have become Russia’s “final argument” in its war against Ukraine and expressed the need for stronger air defenses and long-term security financing. He highlighted contributions to the PURL program, joint weapons production and talks with NATO’s Secretary General Mark Rutte on durable financial guarantees, adding that timely partner support could push Moscow towards a “fair and dignified peace.”

Market volatility

However, experts warn that the current market euphoria may prove fragile, especially if the planned meeting in Alaska fails to meet expectations .

Yaroslav Kabakov, strategy director at Finam Investment Company, told The Moscow Times that “if the Alaska summit fails to deliver concrete results, or if the EU and Ukraine publicly criticize the outcome, the market risks a sharp downturn.

Stocks that have surged purely on expectations will be especially vulnerable,” he added.

Optimism over a potential peace deal in Ukraine has also lifted European markets, with the pan-European STOXX 600 index reaching its highest level on Monday since July 31.