Russia-Ukraine war: Vladimir Putin batters European stock markets

Most global markets are in the negative for the year as Putin’s attack on Ukraine has triggered a flight to safety among global investors. The top 14 worst-performing markets so far this year are all from the European region with Russia topping the list. Followed by  Austria, Finland Hungary, and Poland, each down more than 25 per cent in US dollar terms.

India, which is down 9 per cent year-to-date in dollar terms, is still better off as there are 30 countries that have fared worst.

“External risks continue to rise in 2022, with geopolitical events adding to the milieu. Even as the US Fed signalled its intention to raise interest rates and fight inflation, the Russia-Ukraine conflict has further raised market volatility across asset classes, hastened the risk-off sentiment, and drove the correction in equity markets,” says a note by Motilal Oswal Securities.

Among the countries that have performed well this year are mostly oil-producing countries such as Qatar, UAE, and Saudi Arabia.