Positive environ, rising oil price prompt growth of Russian stocks

MOSCOW, Jan 19 (PRIME) -- The positive external background and higher oil prices resulted in a growth of Russian stocks, analysts said on Tuesday.

The MICEX rose 1.43% to 1,645.56 and the RTS increased 2.07% to 660.29.

“It looks like the main reasons for today’s increase of the Russian stock market were positive external background and an improved situation on the world commodity markets,” Timur Nigmatullin, an analyst at investment company Finam, said.

All European markets were in the green zone and March futures of Brent oil grew 1.755% to U.S. $29.06 per barrel as of 6.15 p.m. Moscow time, according to the ICE exchange.

China said its gross domestic product grew 6.9% in 2015, in line with forecasts, and provided about a quarter of combined world’s economic growth, Nigmatullin said.

“China’s statistics did not prompt a turmoil this time even though it was mostly neutral – the country’s economy has showed the slowest growth since 2009. But yesterday’s measures of the Chinese central bank helped to prevent a new panic wave,” Andrei Kochetkov, an analyst at Otkritie Broker, said.

“The reason for positive trading today was improvement of external background. The most important external factor was correctional growth in futures for Brent oil,” Vitaly Manzhos, a senior analyst at Bank Obrazovanie, said.

Pharmacy Chain 36.6 soared 18.90% to 18.87 rubles as the company said its shareholders reached a preliminary merger agreement with controlling owners of Pharmacy Chain A5. It seems like investors expect a long-term positive effect of the deal, Manzhos said.

Second biggest bank VTB looked weaker than the market and remained flat at 0.0694 rubles as it turned out that an about 1.5 billion ruble loan provided by the bank to troubled airline Transaero was not secured by state guarantees, and a loss of such a significant sum may become a serious blow for the bank, Mahznos said.

Fertilizer maker Uralkali fell 2.48% to 172.95 rubles due expectations that the producer may cease being a public joint stock company after all its share buyback programs, he added.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+0.62	86.68	10.054
Gazprom	+1.11	125.98	4.634
Lukoil	+1.79	2150.00	3.115
Norilsk Nickel	+3.02	8540.00	3.109
VTB	0.0	0.06940	1.991

(78.6678 rubles – U.S. $1)

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