July 8 (Bloomberg) -- OAO Sberbank and VTB Group dropped after Moody’s Investors Service reduced the debt ratings of Russia’s biggest lenders.
VTB slid for the first day in three, losing 1 percent to 4.707 kopeks by 4:34 p.m. in Moscow. Sberbank sank 1 percent to 92.33 rubles.
Moody’s cut Sberbank’s rating to Baa1 from A3 and VTB’s to Baa2 from Baa1. Russia’s vulnerability to a drop in oil prices has “eroded” the government’s ability to support banks in the event of a “systemic crisis,” according to the e-mailed note. The Russian government’s financial position has “weakened” compared with 2008, Moody’s said.
Sberbank’s ruble bonds due in January 2016 fell, lifting the yield one basis point, or 0.01 percentage point, to 7.12 percent.
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