Russia’s more than $400 billion of foreign reserves pose a challenge for President Vladimir Putin as he seeks to diversify holdings away from U.S. and European bonds and buy more debt of the largest emerging nations.
The ruble fell to a record for a fourth day as sanctions over the Ukraine crisis exacerbated a foreign-currency shortage in Russia, while the government canceled its ninth straight debt sale. Stocks advanced.
The International Energy Agency joined OPEC and the Energy Information Administration in lowering expectations for global demand. The IEA lowered their demand forecast for the third month in a row lowering global oil demand growth to 900,000 barrels per day in 2014.
Since March, the Market Vectors Russia ETF, the largest U.S. exchange-traded fund tracking the nation’s companies, has posted one-day rallies of 2.4 percent or more on at least eight occasions following conciliatory signals from Putin’s administration.