Russian stocks can grow on weakening of US dollar

MOSCOW, Sep 21 (PRIME) -- The Russian stock market will likely open with a small upward gap on Friday because weakening of the U.S. dollar makes emerging markets assets more attractive, analysts said.

“The external background remains positive for the stock market… Weakening of the dollar raises the comparable attractiveness of assets on developing markets and therefore favors recovery of the demand on the Russian sector of blue chips,” Anton Startsev, senior analyst at investment company Olma, said.

Anna Bodrova, senior analyst at Alpari, said that the background for the start of the session in Russia is mostly positive, except for the news from the U.S. concerning Russia.

The U.S. authorities blacklisted several Russian defense entities and 33 people allegedly cooperating with the defense sector or intelligence late Thursday.

Finam analyst Sergei Drozdov said that oil prices can grow after an OPEC meeting in Algeria later in the week because according to a report by Reuters, the participants are unlikely to agree to increase production.

Bodrova said that the MOEX Russia Index can open at about 2,400 and can trade at 2,385–2,425 later in the day. Startsev said that the RTS index is seen at 1,150–1,160.

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