Trump Putin’s talks are already “victory” in Moscow, its economy and markets

The talks between Russian President Vladimir Putin and its American counterpart Donald Trump are still a few days away, but the next meeting of the two leaders to negotiate the end of the war in Ukraine is already seen as a victory over the Kremlin, the Russian economy and global financial markets.

Discussions are scheduled to be held on Friday in Alaska.

“This is indeed a great victory for Putin to be invited for the first time since 2007 to meet the US President on the American soil. This is a great achievement, from his point of view, there are no conditions and absence in Ukraine, and the absence of any European representation. This is already a victory,” said Richard Burdes, head of the London School of Economics.

There are concerns that Ukraine would be forced to waive the Russian lands to Moscow, and the mood in Kiev, including President Folodimir Zellinsky has not yet been invited to attend the talks.

Kiev said that any deal about its future will not be concluded in its absence, and the European leaders are pressing strongly for the involvement of Ukraine. The United States, for its part, said, NBC News mentioned.

Meanwhile, economists say that the talks-which are taking place as Russia is achieving gains in the battlefield in southeast and east Ukraine, with no ceasefire-is already a victory for Putin and his economy that focuses on the war and which works under international sanctions and high inflation From 9.4 % in June.

((Putin) starts from a relatively strong position in the battlefield. They are progressing … on the other hand, economically, starts from a weak situation. The Russian economy is not in very good. They are running a major financial deficit, partly due to the fact that oil revenues have decreased significantly, and the price of oil. “

Russia is likely to want talks with a strong position in the battlefield, which is likely to want to relieve immediate sanctions as part of any ceasefire deal, as well as Ukrainian regional concessions.

The Kremlin spied with rapprochement with Washington as an opportunity not only for economic recovery, but investment. “The economic interests of our countries intersect in Alaska and the northern pole, and there are prospects for implementing large -scale and beneficial projects for both parties,” said Russian presidential assistant, Yuri Ushakov, on Saturday. The Kremlin edited.

Portz said that if Trump “has patience and the desire to apply sanctions properly, the waiting (for conversations) will lead to a major change in the balance of the forces.”

And with things, Trump has so far dismantled the increasing sanctions on Russia. Instead, Washington threatened the remaining Kremlin’s commercial partners, such as India, with “secondary sanctions” and additional commercial tariffs to continue to buy Russian oil, which funded the war machine in Moscow.

When asked whether Trump could move forward with more sanctions to push Putin towards a peace agreement, Ports asked: “Can anyone predict what the President of the United States will do from day to day? It is very difficult.”

“The possibility of increasing the pressure of sanctions is great, but … given Trump’s desire for the Nobel Prize, the possibility that Trump will increase the penalties at this stage. It does not seem very high, but it can change his opinion tomorrow,” he said.

The global financial market reaction to this announcement was on Friday that talks to end the war will be informally occurring, With the rise in Pour in Europe and the United States. However, the defense shares in Europe fell on the news, as it seemed that traders betting that peace could deter more investment that NATO allies pledged.

The immediate price of gold, which is seen as a safe haven for geopolitical and financial stress in the market, has decreased by about 1 % at $ 3364 an ounce, starting at 8 am. London’s time on Monday.

Germany shares Rheinmetall It has been traded approximately 4 % Hensoldt He decreased by 1.5 % and color 3.3 % decreased in early deals. Italy Leonardo France Thouses It also decreased by 1.9 % and 1.7 %, respectively. At the same time, listed in London BAE systems and Babakuk He also abandoned the gains from early today, a decrease of 1.1 % and 1.3 %, respectively at approximately 9 am London time.

But Christopher Granville, Managing Director of TS Lombard, said that the talks could eventually prove that they “won the victory of European Defense Store” and advised investors to “buy this weakness.”

Granville said that if the peace process fails, there will still be a need to renew the inventory of weapons that are exhausted to us and Europe, which “will be very good for orders and purchases for Rheinmetall and all other European defense shares.”

“Or if there is a peace agreement, what do we see?

“Of course, the market has deduced this from time to time, and since these (defense shares) names are a little declining, you should buy this weakness, in my opinion.”