Oil price rebound pushes Russian stocks higher

MOSCOW, Jan 24 (PRIME) -- Russian stocks increased on Tuesday mainly due to a rebound of oil prices, analysts said.

The MICEX rose 1.33% to 2,174.59 and the RTS increased 1.56% to 1,155.38.

“The Russian benchmark received support from growing prices for oil…the positive dynamics in which were based on the news on fulfillment of production cut obligations by countries,” Irina Rogova, an analyst at Forex Club group of companies, said.

The Brent oil price rose 0.808% to U.S. $55.68 per barrel as of 6.14 p.m. Moscow time, according to the ICE exchange.

“After nine days of sales, the MICEX index found some inner strength to rebound. The oil price is above $55, the external markets are calm, this is why the rebound took place because the market was technically oversold,” Andrei Kochetkov, an analyst at Otkritie Broker, said.

Bogdan Zvarich, an analyst at investment holding Finam, said that the Russian market was also supported by the European floors, where major indices gained 0.2% in the middle of the day.

Kochetkov also said that shares of Russia’s largest truck maker Kamaz grew 5.34% to 51.30 rubles due to strong operating results, as the company’s combined sales rose 21% to 34,500 units in 2016.

Shares of national flag carrier Aeroflot went up 0.75% to 161.40 rubles. The passenger traffic of the company grew 11% on the year to 29 million passengers in 2016, Kochetkov said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+2.10	170.25	7.685
ALROSA	+2.75	104.81	3.946
Gazprom	+1.38	150.15	3.343
Lukoil	+0.42	3190.00	2.780
Norilsk Nickel	+0.66	9486.00	2.371

(59.5034 rubles – U.S. $1)

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