Hit by Gazprom’s ex-dividend trade, stock market fall slows down

MOSCOW, Oct 10 (PRIME) -- The Russian stock market has slowed its decline to about 4% after collapsing early trade on Monday, when the MOEX Russia Index fell by 8.7% to below 1,800 for the first time since February as Gazprom traded without dividends for the first day, according to the Moscow Exchange.

The MOEX Russia Index was down 3.9% to 1,868.88 by 11:50 a.m. Moscow time, while the RTS Index was down 5.93% to 945.48. At the start of trading, the MOEX Russia Index hit its lowest since February to 1775.04 points, while the RTS index was the lowest since April, having dropped to 906.88 points.

Gazprom shares lost 18.1% at that time, trading at 159.8 rubles. At the beginning of the day, before the launch of a discrete auction at 10.15 Moscow time, they were down 29.75%, to 137.1 rubles.

“There is hope that a further fall of Gazprom shares will stop, the prices will stabilise as strategic investors will start buying them to hold for several years,” Alexei Antonov from Alor Broker said.

Veles Broker analyst Yelena Kozhukhova said that the geopolitical factor also negative for the market in the wake of an attack on the Crimea Bridge and reports of missile strikes on Kiev.

(61.2475 rubles – U.S. $1)

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