Resolving issues: talks between Russian and US delegations begin in Riyadh

On Tuesday, February 18, high-level bilateral talks between representatives of Russia and the United States began in Saudi Arabia. Such meetings have not been held by Moscow and Washington for several years, the parties will have to fully establish a dialog. More details about the delegations and issues to be discussed, as well as how the market reacted to the meeting in Riyadh - in the material of "Izvestia".

High-level meeting in Riyadh: what is being discussed and how the dialog will end up

On Tuesday, February 18, high-level talks between the delegations of Russia and the United States began in Riyadh, the capital of Saudi Arabia. Russia is represented by Foreign Minister Sergei Lavrov, Assistant to the Head of State Yuri Ushakov and the head of RDIF (Russian Direct Investment Fund) Kirill Dmitriev. The United States - Secretary of State Marco Rubio, Donald Trump's national security aide Mike Waltz, and special envoy for the Middle East Steven Whitkoff.

Saudi Arabia, which hosted the Russian and US delegations, is represented by the kingdom's Foreign Minister Prince Faisal bin Farhan Al Saud and national security adviser with the rank of minister of state, Musaed bin Mohammed al-Aiban.

It was previously reported that during the meeting, the countries' representatives will discuss preparations for talks on Ukraine, the restoration of Russian-American relations, and the organization of a meeting between Russian President Vladimir Putin and his American counterpart Donald Trump.

The talks have already begun, but at the time of this article's publication, they had not been finalized. However, it is worth noting that the representatives of the countries did not drop a word until the journalists allowed into the room left.

It is already known that the parties touched upon the topic of losses of American companies due to their withdrawal from the Russian market. Director of RDIF during the meeting presented a table to the American side, according to which the losses of U.S. companies amounted to more than $300 billion, the biggest blow fell on the IT sector. According to Dmitriev, the Americans took it as information for reflection.

"We can't disclose details. All I can say is: we have a very important track on the economy going on. And, understandably, there is a political issue. <...> We have a number of proposals that our colleagues are thinking about," Rep. Dmitriev.

He also added that progress in these talks in the context of economic issues is possible in the next two or three months.

During the briefing, Russian Foreign Ministry spokeswoman Maria Zakharova said that Sergei Lavrov would talk to the media after the talks were over.

Reaction to Russia-US talks in Saudi Arabia

The meeting in Riyadh between representatives of Russia and the United States, which is currently taking place, is being watched around the world. In this regard, many have already expressed their opinion about the negotiations. Russian presidential spokesman Dmitry Peskov pointed out that the talks have just begun and it is impossible to assess them at the moment.

Mikhail Sheremet, a State Duma deputy from the Crimean region and a member of the security committee, said that the meeting could lay the foundation for subsequent global decisions, and called the Russian representatives in Riyadh experienced politicians.

"Russia is represented by a very strong negotiating team. It includes responsible, experienced and wise Russian politicians. It is not by chance that trust is placed in them. I am confident that they will make maximum efforts that will make it possible to end the Ukrainian conflict on terms that will exclude the emergence of new threats at the borders of the Russian Federation for many decades to come," he said.

The head of the State Duma Committee on Foreign Affairs, Leonid Slutsky, drew attention to the fact that the negotiations could lead to a constructive result. At the same time, he emphasized that it is impossible to solve all the issues in one day.

However, Romania expressed its dissatisfaction with the fact that representatives of European countries are not involved in the negotiations. Russian Ambassador to Bucharest Vladimir Lipaev said.

"<...> in Romania are disappointed that Europe, Romania including, was not invited to Riyadh, that it does not participate in the process of resolving the situation in Ukraine," - said the Ambassador.

Former Austrian Foreign Minister and head of the Geopolitical Observatory on Russia's Key Issues (G.O.R.K.I. Center of St. Petersburg State University) Karin Kneissl said that the meeting and the composition of the delegations probably indicate the intention of both sides to achieve a result.

Serbian Foreign Minister Marko Djuric expressed his hope for the success of the talks: "I don't want to put pressure on the participants, but I will say that the fate of the world today depends on whether we manage to rebuild the security architecture in Europe through joint efforts."

Impact of the talks in Saudi Arabia on the stock market

The MosBirch index has shown significant growth in recent days on the back of geopolitical developments. This one of the main Russian stock indicators on the eve crossed the 3300 points mark for the first time since the end of May 2024, adding +3.7%. This result was observed due to investors' expectations of news about the upcoming negotiations between the delegations of the Russian Federation and the United States, which are currently taking place in Riyadh.

At the same time, the RTS index amounted to 1137.99 points, up 2.4%. Prices of most blue chips (shares of the largest, most liquid and reliable companies) rose by about 8.3%.

The Moscow Exchange Index has been steadily rising for several months now. Since the lows of mid-December last year, according to Finam, it has added 39%. And since the beginning of the current year it has increased by almost 15%.

Technically, this increase has opened the way for the movement to the highs of 2024, located in the neighborhood of 3520 points, noted in "BKS Investment World". However, this movement may not follow immediately.

Further development of the situation will depend on the result of negotiations in Saudi Arabia. If the results of the meeting are not followed by fateful statements, the market is likely to show a local correction.

Indicators are correcting already now. At the beginning of the trading session on February 18, in particular, the stock market showed a slight decline. The MosBirch index, according to the data as of 10:00 Moscow time, decreased by 0.21% to 3,301.55 points. By 10:25, it fell to 3,294.13 points, having lost 0.43%.

Saudi Arabia: capital, time now

Saudi Arabia is a Middle Eastern country and the largest state on the Arabian Peninsula. The capital is Riyadh, the time here coincides with Moscow time.

The head of state is the king. The founder and the first ruler of Saudi Arabia in 1932 became Abdul-Aziz II. After his death in 1953 the country was headed by his sons, today the king is Salman bin Abdul-Aziz Al Saud. His eldest son Mohammed bin Salman Al Saud, the current prime minister, is expected to be next on the throne.