Negative global mood, weak oil to push Russian stocks down

MOSCOW, Aug 5 (PRIME) -- The Russian stock market may edge down on Monday discouraged by the pessimistic foreign environment with declining Asian floors and cheaper crude, analysts said.

“The external background looks moderately negative ahead of the Russian stock market’s opening. China’s benchmarks and crude prices are seen in the red territory thanks to worsening trade relations between the U.S. and China. A new deal is unlikely until September so new duties on Chinese exports will be introduced, and Beijing is to retaliate,” analysts of Solid Broker said.

The Brent oil price returned to around U.S. $61 per barrel at August 2’s closing, and will likely test the $60 per barrel mark in the next few days, Solid Broker added.

Promsvyazbank analyst Mikhail Poddubsky said Hong Kong’s protest against the U.S. interference in the local affairs are another risk factor for the financial markets.

Olma senior analyst Anton Startsev said that the downward corrector of the RTS index will deepen in light of the global negativity.

In Russia, investors may also be interested in results of a meeting of the board of directors of oil company Tatneft.

End