Higher oil, strong global stocks dynamics support Russian market

MOSCOW, Sep 30 (PRIME) -- Russian stocks rose on Tuesday following the Brent strengthening, as well as upward dynamics of global trading floors triggered by positive U.S. statistics, analysts said.

The MICEX rose 0.88% to 1,630.51 and the RTS increased 1.08% to 784.11.

Contracts on Brent oil futures rose significantly to over U.S. $48.25 per barrel by the closing bell and this triggered the growth of Russian stocks, Vitaly Manzhos, a senior analyst at Bank Obrazovanie, said.

The external conditions for the Russian market improved significantly after Monday sales as global trading floors sped up their growth on the news that the U.S.’ consumer confidence index for September rose surprisingly to 103 points against an expected decrease to 96.8 points, Veles Capital’s analysts said in a research note.

Metals companies have been under some pressure since Russian authorities announced plans to increase the mineral extraction tax (MET) in the sector, Gleb Zadoya, head of Profit Group’s analytical department, said. In particular, Magnitogorsk Iron and Steel Works (MMK) decreased 2.47%.

At the same time, some Russian metals companies, including Severstal, Novolipetsk Steel (NLMK), Polyus Gold, and Polymetal, which were recently oversold on the MET fears, rebounded on Tuesday, Manzhos said. For example, NLMK gained 2.72%.

Aluminum giant RUSAL fell as the company’s board of directors postponed consideration of interim dividends to October 12, Veles Capital’s analysts said.

Agricultural holding Razgulay gained 9.67% after another agricultural producer Rusagro sent a proposal to Vnesheconombank (VEB) to buy out Razgulay’s debt, Manzhos said.

Below are the MICEX’ five most active stocks on Tuesday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+1.25	75.50	6.249
Gazprom	+1.76	133.20	4.063
Lukoil	+0.85	2261.00	2.863
Norilsk Nickel	-0.61	9325.00	2.310
Uralkali	+0.54	196.00	0.891

(65.5470 rubles – U.S. $1)

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