Russian stocks can fall on oil price, foreign markets’ decrease

MOSCOW, Aug 9 (PRIME) -- Russian stocks can open with decline at Wednesday opening because the Brent oil price fell below the U.S. $52 level, and foreign markets sagged on rising geopolitical tensions with North Korea, analysts said.

“The ultimate influence of key external factors that have a significant impact on the Russian financial market is moderately negative today at the start of the day,” Oleg Shagov, head of investment company Solid’s research department, said.

Brent oil futures fell below $52 per barrel on the back of a rise in geopolitical tensions around North Korea, he said.

Late Tuesday, U.S. President Donald Trump promised ‘fire and fury’ for North Korea if Pyongyang keeps on threatening the U.S.

U.S. stock market futures are falling slightly, key Asian markets are mostly demonstrating negative dynamics and the premarket of the European trading session signals a decrease in stocks later in the day, he said.

The MICEX will likely open in the range between 1,980 and 1,985 and will be under sales pressure due to the negative background, Shagov said.

Andrei Kochetkov, an analyst at Otkritie Broker, said that no important macroeconomic statistics releases are expected on Wednesday.

The Moscow Exchange, VTB, Mosenergo and EuroChem are expected to publish their financial reports, and the supervisory board of the Moscow Exchange to decide on the amount of dividends. According to Shagov, these corporate events are expected to be the most important ones on Wednesday.

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