Gazprom drives stocks higher as Morgan Stanley improves outlook

MOSCOW, Oct 29 (PRIME) -- The Russian stock market grew on Tuesday propelled by Gazprom, whose outlook was improved by Morgan Stanley, analysts said.

The MOEX Russia Index grew 1.04% to 2,886.48, and the RTS index increased 0.86% to 1,424.05.

“The MOEX Russia Index rises today, led by the shares of Gazprom. The optimism about the shares of the gas company was caused by an improvement of outlook for the securities by one of the key global investment banks, Morgan Stanley,” Sergei Suverov, senior analyst at BCS Premier, said. “Consideration of the dividend policy by the executives on December 5 is also a (growth) driver for Gazprom.”

Veles Broker analyst Yelena Kozhukhova said that the external background for the trading session was moderately negative as the European markets decreased, and the futures for U.S. S&P500 dipped by 0.2% after reaching a record high.

Arseny Dadashev, director of the Academy for Management of Finance and Investment, said that the Brent oil tested the U.S. $60.50 per barrel on market doubts that the members of the OPEC plus nonmember output cut deal are ready to restrict production stronger to balance the market. Investors also fear that a new statistic report will show higher crude reserves in the U.S.

Kozhukhova said that Lukoil continued a downward correction after CEO Vagit Alekperov denied rumors that he plans to sell his stake in the company.

Below are the MOEX Russia Index’ five most active stocks on Tuesday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Gazprom	+3.56	253.1	17.705
Lukoil	-1.62	5820	10.953
Sberbank	+1.3	240.11	9.899
Surgutneftegas	-0.11	44.55	6.185
Norilsk Nickel	+1.32	17948	3.477

(63.8700 rubles – U.S. $1)

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