Credit Suisse Group AG sees Ukraine falling into “sovereign limbo” as Crimea effectively becomes part of Russia, said Robert Parker, the Swiss bank’s senior adviser on investment, research and strategy.
Russian stock investors have become experts at bracing for the unexpected from President Vladimir Putin. After watching him seize companies, jail dissidents and support Syria, investors have put a discount on Russian stocks that makes them the cheapest in emerging markets.
A creeping Kremlin takeover of Crimea by ostensibly local ethnic Russian forces is more likely than a military assault on all or parts of Ukraine, U.S. and European intelligence officials and analysts said.
As Europe takes the lead in trying to end the bloodshed in the Ukrainian capital, Vladimir Putin is running out of options to shape events in a country that he sees as firmly within Russia’s sphere of influence.