Ukraine Latest: Strike Kills 63 Russian Troops in Occupied Town

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(Bloomberg) -- A Ukrainian strike on a Russian military facility in the occupied eastern town of Makiyivka killed 63 troops being housed there, Russia’s defense ministry said, making it one of the deadliest losses acknowledged by Moscow.

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Ukraine warned that Russia may launch more attacks over the Orthodox Christmas holiday later this week even as it downed all 39 Iran-made Shahed drones launched overnight, according to the country’s air defense command.

Ukrainian President Volodymyr Zelenskiy said on New Year’s Day that Russians were “afraid. And they are right to be afraid because they are losing. Drones, missiles, nothing else can help them.”

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On the Ground

Russia shelled the central market in Beryslav, in the liberated part of the Kherson region Monday morning, injuring at least five people, Kherson governor Yaroslav Yanushevych said on telegram. Russian military forces have carried out 51 air strikes on Ukraine, mostly with with Iranian-made Shahed drones, Ukraine’s general staff said earlier. All of the missiles were shot down, the report said. Russia also made 55 MLRS attacks hitting, among other targets, a children’s hospital in Kherson. “The threat of enemy air and missile strikes on critical infrastructure remains throughout Ukraine,” it said.

(All times CET)

Ukraine Expects Protracted Drone Attack From Russia (9:40 p.m.)

Moscow plans a protracted drone attack on Ukraine to “exhaust” the country’s energy infrastructure, air defenses and people, according to President Volodymyr Zelenskiy.

Ukraine’s anti-missile forces have intercepted more than 80 Iran-made drones launched by Russia against the power grid and civilian infrastructure since the beginning of the year, and many more are yet to come, Zelenskiy said in his nightly address to the nation on Monday.

“Over coming weeks, nights may be pretty troubled,” he said. “We have information that Russia plans a protracted attack by Shahed drones.” The attack is meant to reassure the Russian people as its troops suffer painful battlefield losses, according to Ukraine’s leader.

Russia Says 63 Troops Died in Ukrainian Attack (2:50 p.m.)

Russia’s Defense Ministry said 63 Russian servicemen were killed in a Ukrainian strike in Makiyivka in the eastern region of Donetsk, according to Interfax. The ministry, which didn’t provide the number of wounded servicemen or specify when the attack occurred, added that the facility was hit by four HIMARS rockets.

The Russian military command rarely provides figures about losses, but this is one of the most significant single-incident losses that Moscow has acknowledged since its invasion of Ukraine. At the end of September, Russian Defense Minister Sergei Shoigu said that the military had lost 5,937 people to date in the war.

Ukraine Braces for Orthodox Christmas Strikes (1:40 p.m.)

Ukraine’s air defense forces are preparing for possible Russian attacks on Orthodox Christmas Eve on Jan. 6 and Christmas on Jan. 7, military spokesman Yuriy Ihnat said on TV.

“Attacks are happening three days in a row. Thus we should be prepared for new ones — keeping the powder dry and rockets charged,” he said, adding that Russia has not changed its intentions regarding Ukraine.

India Worries Over Knock-On Effects of War (1 p.m.)

Developing economies are increasingly suffering from Russia’s war in Ukraine because it has led to higher food, fuel and fertilizer prices, India’s External Affairs Minister Subrahmanyam Jaishankar said after a meeting with Austrian Foreign Minister Alexander Schallenberg in Vienna. Jaishankar added that differences must be settled in negotiations.

European Gas Falls to Lowest Level Since Before War (12:50 p.m.)

European natural gas prices started the new year declining as mild weather curbed demand. Benchmark futures dropped as much as 7.9% to the lowest level since February 21, extending three weeks of net declines.

Weather forecasts point to temperatures above seasonal norms for most of the region in the next two weeks, which will help Europe avoid depleting its stocks too soon as it goes through the winter.

Strikes Damage Kyiv’s Energy Infrastructure (8 a.m.)

Kyiv’s energy infrastructure was damaged as a result of Russia’s night attacks, Mayor Vitali Klitschko said on Telegram. Water supply continues as normal, he said.

Russia Launches Drones; Sirens Go Off Across Ukraine (12:17 a.m.)

Russia launched a barrage of drone attacks shortly before midnight on New Year’s Day, as sirens went off in southern, eastern, central and northern regions of Ukraine. Loud explosions were heard in the capital Kyiv, including downtown. The capital region’s air-defense system responded to the attacks, local authorities said on Telegram.

Kyiv Mayor Vitali Klitschko said on Telegram one person was wounded. He did not provide details.

Russia launched a massive missile attack on Dec. 31, followed by drone attacks, as Ukrainians were celebrating the New Year, damaging residential houses, schools, private cars and university buildings. “Russian terrorists were pathetic, and they entered this year staying the same,” Zelenskiy said in his daily video address to the nation, praising the air defense forces for shooting down 45 drones the night before.

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