High oil prices support shares of oil firms, Russian market

MOSCOW, Oct 18 (PRIME) -- The Russian stock market edged up on Wednesday unlike the majority of foreign bourses thanks to the oil companies supported by High oil prices, analysts said.

The MOEX Russia Index rose by 0.06% to 3,249.21 and the RTS increased by 0.42% to 1,051.17.

“In the framework of its mid-term upward trend the MOEX Russia Index got close to its annual high of 3,287.34. The Russian shares rose against the background of growing oil prices, while the global markets showed downward dynamics in correction,” Anton Kravhcenko, head of the stock managing department at managing company Pervaya, said.

Veles Capital analyst Yelena Kozhukhova said that while the foreign trading floors saw flight from risk as the military conflict in the Middle East escalates, the MOEX Russia Index and the RTS Index outperformed them mainly because of the oil sector, which prices in the prospects of dividend payment in addition to the general optimistic mood caused by the high prices for ‘black gold’.

Oil companies Rosneft, RussNeft, Lukoil, and Surgutneftegas gained 1.22%, 0.70%, 1.17%, and 0.44%, respectively, Kozhukhova said.

The preferred shares of oil pipeline monopoly Transneft rose by 1.20% to 148,000 rubles on the news that its net profit calculated under Russian Accounting Standards quadrupled in January–September, while the 2022 dividend yield stood at 11.9%, one of the highest on the Russian market, she said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Lukoil	+1.17	7471.00	17.895
Sberbank	-0.59	268.40	10.147
Transneft prefs	+1.20	148000.00	6.830
Positive Technologies	+0.24	2322.60	5.188
Rosneft	+1.22	580.05	5.009

(97.3458 rubles – U.S. $1)

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