JPMorgan Says Sell Russia Stocks as Bulls Unwind Bets on Ukraine - Bloomberg

JPMorgan Says Sell Russia Stocks as Bulls Unwind Bets on Ukraine - Bloomberg:



"JPMorgan Chase & Co. recommended cutting Russian stock holdings on concern foreign investors will unwind bullish bets amid elevated tensions over Ukraine.



The bank reduced its rating to underweight from overweight, according to a report by strategists including Hong Kong-based Adrian Mowat dated yesterday. Emerging-market money managers will probably cut positions because their Russian holdings were more than double the long-term average in January, Mowat wrote.



JPMorgan is betting it’s not too late to sell after President Vladimir Putin’s buildup of Russian troops in Ukraine prompted a threat of economic sanctions from the U.S. and fueled a 10 percent tumble in the benchmark Micex index during the past two weeks. The central bank’s efforts to stem the ruble’s slide to a record by raising interest rates will weigh on economic growth and the stock market, according to Mowat."



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