Russian stocks can open flat on absence of strong drivers
MOSCOW, May 31 (PRIME) -- The Russian stock market will likely open with a marginal dynamics on Wednesday because of an oil price and foreign markets’ consolidation, analysts said.
“The ultimate influence of the key external factors which significantly affect the behavior of the Russian financial market has been close to neutral today at the start of the day, in our estimates,” Oleg Shagov, head of investment company Solid’s research department, said.
Brent futures are fluctuating close to the level of U.S. $51.6 per barrel as the forecasts of a future U.S. oil production growth are offset by the effect of the forthcoming expiration of the July futures with the price of the August ones at $52, Shaov said.
U.S. stock market futures are little changed, key Asian markets are demonstrating a mixed dynamics. The premarket of the European trading session signals a neutral opening later in the day.
According to Shagov, all these factors are forming a neutral background for the Russian stock market. The MICEX is expected to open at 1,935 and to continue to consolidate at this level, he said.
According to Olma senior analyst Anton Startsev, the RTS is slightly above the lower margin of a consolidation zone, and if it falls beyond the level, a strong decrease is possible.
There are no strong market stimuli so far still, he said.
Publication of Gazprom’s financial report under International Financial Reporting Standards (IFRS) for January–March can become the key event on Wednesday, Startsev said.
Shagov said that the expected reports by TransContainer and Rusagro are also of interest for investors.
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