Medvedev reacts to Russian market slump

MOSCOW, Sept. 11 (UPI) -- Sweeping losses in Russian stock markets Wednesday prompted reassuring words by President Dmitry Medvedev.

"We will return to the levels that we saw at the start of the year," Medvedev said. "I believe this is within the power of the government," the Moscow Times reported he said Thursday.

Growth in the Russian economy has been robust, but declined from 8.5 percent to 7.5 percent in the second quarter. Inflation for the year has reached 9.8 percent.

On Wednesday, the RTS Index fell 4.4 percent, closing at 1,309.49 points. The MICEX index fell 3.8 percent, reaching 1,114.67, its lowest level in 27 months, the Moscow Times reported.

Medvedev placed part of the blame on the U.S. mortgage crisis. "Let the Americans

sort out their mortgage system themselves," he said. "But of course ... they have pretty much set everyone up for this."