European Union and U.S. sanctions jeopardize funding for Russian companies, which have tapped international capital markets for more than $600 billion in debt and equity since the country emerged from its 1998 default. Russian businesses have about $165 billion in U.S. and European bonds and more than $100 billion in offshore syndicated loans currently outstanding, according to data compiled by Bloomberg. The sanctions against Russia "will likely force a further contraction in domestic credit growth and hence the economy," said Alexander Moseley, senior portfolio manager in New York with Schroders Plc, which oversees $100 billion in fixed-income assets. The European Union today joined the U.S. in prohibiting Russian state-owned banks from selling shares or bonds in the West in an effort to force Moscow to end support for rebels in eastern Ukraine.
The death sentence of Medicare is getting an extended breathe of life, according to a new report out from the trustees of the program. Medicare’s hospital fund, which was expected to go bankrupt by 2026, is getting 4 more years added to its lifespan, thanks to savings driven by Obama’s Affordable Care Act. The agency will now run out of hospital funding by 2030.