Pressure on the market comes from the uncertain dynamics of oil market that’s trying too hard to be at the level of 37 dollars per barrel of Brent.
MOSCOW, 30 Dec. Dmitry Mayorov. The Russian stock market in the middle of the trading environment was decreased on the background of the uncertain dynamics of the oil market.
Weak ruble puts pressure on banking stocks, but supports the oil industry, say traders.
The MICEX index to 13.09 GMT were down 0.3% to 1759 points, RTS – on 1,5%, to 758 points.
Oil does not give chances of growth
The Russian stock market in the first half of the day ranged mostly in negative territory.
The main pressure on the market before the long weekend comes from the uncertain dynamics of oil market that’s trying too hard to be at the level of 37 dollars per barrel of Brent.
Investors ‘ concerns about the oversupply and the continued relatively low demand continued to put pressure on the price of “black gold” after rising more than 3% on Tuesday.
Investors ‘ attention is also drawn to forthcoming later Wednesday publication data the U.S. Department of energy on oil reserves in the country. According to analysts, crude inventories for the week ended December 25th fell by 2.48 million barrels — up to 482,32 million barrels.
Under these conditions, the ruble depreciates against the dollar and the Euro, updating the lows from late 2014 and August respectively. This leads to the reduction of Sberbank securities (-1,1%), VTB (-0,2%), “Rostelecom” (-1,8%), affected by the devaluation of the currency of the Russian Federation.
Shares of the oil industry in some way win, especially because the ruble price of oil in recent days is growing. Papers of LUKOIL have depreciated only by 0.4%, the prefs “Surgutneftegaz” – on 0,1%.
Shares of “Rosneft” (-0,04%) and Bashneft (-0,1%) receive support from the news about preparation by the government of the Russian Federation proposals on the privatization of stakes in major companies, including “Rosneft” and “Bashneft”.
Forecasts
In the past year the Russian stock market showed its strength, was evaluated by Alexander Potavin from “Management Savings”. “The MICEX index shows an annual increase of 26%. Due to the fact that during that time the dollar against the ruble grew by almost 29%, dollar-denominated RTS index fell by 2.66 per cent”, he added.
Among market sectors the undisputed leader in this year was the composite index of the shares of chemical companies (+76.7 per cent), were great paper of the financial sector (+52.4 per cent). And here the weakest positions were in the shares of steelmakers (+8.8%) and energy (+17,2%) rated the expert.
“Today is the last trading day of 2015 on our stock and derivatives markets. At the time, as the whole country will entertain until 11 January, trading on the Moscow exchange will take place 4, 5, 6 January. Given the strong close of this year, we can expect a decent enough start in the beginning of the next,” said potvin.
Today on the Moscow stock exchange the last trading day before Christmas. Together with Russia for the holidays will leave Germany and Japan (on the Frankfurt stock exchange today shorter working day), and tomorrow – the rest of the world.
“Moscow exchange will work 4-6 January. We do not exclude strong movements these days (for example the beginning of 2015, when the new year holidays MICEX index grew by 12%). In particular, USD/RUB and the shares of Russian exporters,” said Roman Tkachuk from IR “Okay Broker.”
