Key Takeaways:
- Russia launched ballistic missiles at Kyiv on June 25 evening
- Air defense systems activated as explosions heard across capital
- Attack follows deadliest month for civilians since 2022 invasion began
Back
Russia strikes Kyiv with ballistic missiles, escalating war into 5th year
Russia launched ballistic missiles at Kyiv on June 25, the latest escalation in a conflict now in its fifth year with no end in sight.
Russian forces fired ballistic missiles at Kyiv on June 25, triggering air defense sirens and multiple explosions across the capital, as Moscow intensifies its campaign against Ukrainian civilian infrastructure.
"The attack targeted the capital with ballistic missiles, and air defense units are actively repelling the strike," Vitali Klitschko, Mayor of Kyiv, said on social media.
The strike came at approximately 9:00 PM local time, with Kyiv's military administration confirming the launch. The assault follows a pattern of escalating Russian attacks: a UN report published June 15 found that May 2026 recorded the highest monthly civilian casualties in four years since the full-scale invasion began in February 2022.
The sustained assault on Ukraine's cities carries significant implications for global markets. The geopolitical risk premium is likely to push gold and the dollar higher while weighing on European equities, with crude oil prices particularly sensitive given the conflict's proximity to key energy transit routes.
Civilian Toll Mounts as Infrastructure Under Fire
The attack on Kyiv comes as Russia has systematically targeted Ukraine's energy grid and civilian infrastructure. Ukrainian President Volodymyr Zelensky described the long-range operations as "a consistent, precise response to Russia's dragging out the war and attacking Ukrainian cities and communities." State grid operator Ukrenergo warned that evening peak demand would require consumer conservation, with CEO Vitaliy Zaichenko saying the grid would rely on nuclear power, imports, and distributed generation to meet daytime demand.
The UN has documented 536 cultural sites damaged since February 2022, including the UNESCO-listed Kyiv-Pechersk Lavra monastery complex hit by a Russian strike on June 15. That attack drew condemnation from religious leaders across Ukraine's Orthodox, Catholic, Jewish, and Muslim communities.
Market Implications and Historical Context
The last major escalation in strikes on Kyiv in late 2023 pushed the VIX above 20 and sent European natural gas futures up 15 percent over two weeks. Current options skew suggests traders are pricing elevated tail risk for energy and defense sectors.
The European Union has responded with a 90 billion euro loan tranche to Ukraine, while France seized a Russian shadow fleet vessel in the Mediterranean on June 25, with President Emmanuel Macron stating Europe is determined to prevent sanctions evasion. The US and World Bank's MIGA also launched a partnership to insure US development projects in Ukraine against war-related risks.
Crimea's energy grid has come under particular strain, with Russian proxy authorities reporting widespread power outages on June 23 that left approximately half of the peninsula without electricity. Ukrainian military officials confirmed strikes on energy and oil infrastructure in occupied Crimea, part of a campaign to strangle Russian logistics in the region.
This article is for informational purposes only and does not constitute investment advice.
© 2026 Edgen Powered by