Russian stocks can grow as S&P improves rating outlook

MOSCOW, Mar 20 (PRIME) -- The Russian stock market is likely to increase at the opening on Monday because rating agency S&P earlier revised the outlook for the country’s sovereign rating to positive from stable, analysts said.

“The S&P agency revised its outlook for the Russian rating to positive from stable unexpectedly on Friday in the evening… Firstly, this signifies that the Russian economy has managed to break a negative trend and restart a recovery, and secondly, that the government is sustainable credit-wise. This fact is particularly important, taking into account the retention of sanctions against the country and some companies,” Finam analyst Bogdan Zvarich said, adding that the decision will support Russian assets at the start of the week.

Except this factor, the background for the Russian trading session start is moderately negative with the Brent oil price falling to U.S. $51.5 per barrel, U.S. stock market futures and Asian markets dropping as well, Oleg Shagov, head of investment company Solid’s research department, said.

Russia’s Federal State Statistics Service will publish labor market and retail sales data for February during the day, which is expected to be the most important statistics data release for the local market, Shagov said.

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