Russian stock to fall at opening pushed by negative background

MOSCOW, Oct 23 (PRIME) -- The Russian stock market may open lower and consolidate during the day on Tuesday pressured by a negative global environment, analysts said.

“(Major U.S.) futures have lost around 0.8% in the morning, and the Russian stock market is likely to follow them. It may decline around 0.5% at opening. The 2,250 mark is seen as the MOEX Russia Index’s support line and if it is broken through, the upward trend, which began in May 2017, may be considered as finished,” Alor Broker analyst Alexei Antonov said.

He added that the Russian market will unlikely fall significantly as most companies demonstrate sound financial results which means good dividends.

Vitaly Manzhos, senior risk manager at investment company Algo Capital, said that the MOEX Russia Index will price in the worsening external background in the first minutes of trade, but may consolidate around a 2,300 mark later in the day.

Olma senior analyst Anton Startsev expected deepening downward correction of the RTS index.

Russian traders will also follow releases of financial results by power producer Unipro for July–September and operating results by oil and gas pipe maker TMK for the same period.

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