The stock market is consolidating, the ruble will fall amid strong dollar

The stock market is consolidating, the ruble will fall amid strong dollar


MOSCOW, 10 Nov. Elena Likova. The share market of the Russian Federation will continue to consolidate the values of the previous close, the ruble will fall against the strengthening of the dollar on world markets, analysts say.

External background looks uncertain, the pressure on the activity of buyers have risks associated with the expected tightening of the monetary policy of the fed, notes a leading analyst of investment “OLMA” Anton Startsev.

Meanwhile in China in October recorded deflation (the consumer price index decreased by 0.3% compared to September), which can be seen as the latest sign of cooling in consumer spending, he adds.

FORECASTS

From the standpoint of technical analysis, there may be a period of consolidation near the level at 850 points on RTS index, says Anton Startsev from investment “OLMA”.

The opening of the Russian share market on Tuesday there will be neutral in the area 1750-1755 points on the MICEX index, says Oleg Steps from “solid”.

“Began in the end of last week’s correction in the MICEX index at the beginning of this week was continued in the form of consolidation, signs of its end not yet in sight. The 1740-1750 zone points that were previously a barrier to increase of the MICEX index continues to act as support area. Technical resistance to further development of the upward trend in the MICEX index is in the district 1785-1800 points,” he explains.

In the currency market expectations of a rise of the basic interest rate the fed continues to support the U.S. dollar, although the case for strong movements, there remains the range of 64.5-65,0 on the pair dollar-ruble, believes the Elders.

It is possible that in the next few days the dollar-ruble will once again be able to go above 65 rubles, said Alyona Afanasyeva from Forex Club.

On Tuesday in the absence of other catalysts, the ruble will continue to observe the dynamics of oil prices, which Monday night was returned to a mark 48 dollars a barrel on the statements of oil Minister of Kuwait that the prices for energy will remain low for a long period, says Igor Kovalyov from the company “InstaForex”. That is, until Brent returns to the area 48,50- $ 49, the pair dollar-ruble below 64 would be unlikely, he adds.

EXTERNAL FACTORS

U.S. stock indexes at the end of trading Monday and has lost about 1% on the background of expectations of investors first since 2006 base rate increase by the fed in December.

The Dow Jones industrial average dropped 1% to 17730,48 item; high-tech NASDAQ — on 1,01%, to 5095,30 item; the index of wide market S&P 500 by 0.98% to 2078,58 item.

Stock futures USA with the morning increased by 0,02-0,24%. Asia stocks most indexes fell by 0.4 to 1.31, while the Japanese Nikkei index grew by 0.15%.

The price of oil hovers around 47,22 dollars per barrel mark Brent. The Euro is 1,0746 1,0755 of the dollar against the dollar at the previous auction.

THE RESULTS OF THE PREVIOUS AUCTIONS ON THE RUSSIAN MARKET

The Russian stock market on Monday closed mixed on major indexes amid falling oil prices.

The MICEX index to closing has decreased on 0,17% — to 1751,44 points, the RTS index rose 0.11% to 855,26 item.

The dollar calculations “tomorrow” on the basis of currency trading Thursday decreased by 1 penny up to 64,59 ruble, the Euro rose 7 cents to 69,47 ruble, follows from the data of the Moscow exchange.