Russian stocks lose value on political uncertainty

The endless guessing game called Who Will Be Russia’s Next President? has begun to hit the country where it hurts – in the wallet.

According to Bloomberg, Russia’s RTS Index has lost 12 percent since March 31, the most among any equity measures in the world’s 40 biggest markets. Last week alone, investors pulled $353 million out of Russian stocks, according to the report. Sliding oil prices and political uncertainty have prompted the drop, it said.

On Wednesday, President Dmitry Medvedev’s chief economic advisor acknowledged that pre-electoral uncertainty was partly to blame. “I don't think we will get (net) capital inflow this year,” Arkady Dvorkovich said, Reuters reports. “Unfortunately, the lack of political clarity partially affects that, the election year is not easy in any country.”