In a sign that hostilities between pro-Russia separatist forces and the Ukrainian military in Ukraine's Eastern Donbas region may remain elevated for some time, a separatist leader just announced an evacuation of local residents to Russia, reported Reuters. The separatist leader said that the evacuation should begin today and that Russia had agreed Russia had agreed to provide accommodation for the evacuees. 

Market Reaction

S&P 500 futures have tumbled from near the 4400 level to near 4380 in recent trade, whilst USD/RUB has lept higher from around the 75.80s to the 76.20s, suggestive that markets fear that the evacuation could signal an escalation of military conflict.