EDITORIAL
Russia — What kind of Country?
After 2 pm on New Year’s eve, those whose hobby is following the activity of the Russian stock market will have to find a new way to amuse themselves for a while. The markets will shut down at that time and they will not reopen, per Kremlin order, until Sunday — yes, Sunday — January 11th.
Just what kind of crazy “country” are we dealing with here, anyway?
You might think that ten days is an absurdly long time to shut down the national economy, but in fact for Russians it’s not nearly enough. Last Wednesday the Moscow Times reported:
With investors preparing for the holidays and many international funds closed until January, Russia’s equity markets look set for a quiet last two weeks. But the state may also seek to use the Christmas lull to buy up domestic equities as a consolation boost to finish out 2008. The state’s main bailout vehicle, Vneshekonombank, or VEB, will likely take advantage of the low trading volume on the MICEX and RTS exchanges in the coming days to prop up prices, analysts said, which could mitigate — if briefly — what has been a particularly dismal year for Russian stocks.
So the Russians need two weeks to prepare for ten days of binge drinking and doing even less than usual, and the Kremlin is planning to take advantage of this pre-lull miasma to invade and manipulate the stock market, driving its prices up artificially so as to create the illusion of an end-of–year uptick. Ironically, even the MT itself is affected, and won’t publish another issue during Russia’s national orgy of drinking. Its next outing will not come until January 12th.
There’s only one word for all of this, and that words is: Yikes!
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