Russian stock market can fall on poor Chinese statistics

MOSCOW, Jan 14 (PRIME) -- The Russian stock market can decrease on Monday in the morning as investors in the wake of weak Chinese statistics and the U.S.–China trade war, analysts said.

“Today downward correction of the RTS Index is possible, following the global stock market indices. A sudden reduction of exports and imports was registered in China in December, a weak trade data reminded investors of the risks arising from the trade wars’ influence on the global economic activity,” Olma senior analyst Anton Startsev said.

Promsvyazbank analyst Mikhail Poddubsky said that while the market expected Chinese exports and imports to rise 3% and 5%, they decreased 4.4% and 7.6% respectively. Trade surplus grew because imports fell deeper than exports weakening China’s position in the trade negotiations with the U.S.

Startsev said that a negative reaction to the Chinese statistics pushed even Brent futures down below U.S. $60 per barrel.

Poddubsky forecasts the MOEX Russia Index to trade in the range of 2,400–2,450 for the next few trading sessions.

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