Russian stocks can rise on high oil price, growing US futures

MOSCOW, Feb 14 (PRIME) -- The Russian stock market can rise slightly at the opening on Wednesday on the back of higher oil price and an increase in U.S. stock market futures, analysts said.

“The bid flow to buy high-liquid securities can weaken throughout the day, a short-term consolidation of the RTS index is not ruled out after a 3.7% increase over the last two days. No new reasons for sales have emerged but volatility of Western stock indices remains elevated,” Anton Startsev, a leading analyst at investment company Olma, said.

Oleg Shagov, head of investment company Solid’s research department, said that the external background for the start of the session is moderately positive as Brent oil trades at about U.S. $62.8 per barrel, U.S. stock market futures are slightly rising and the European premarket signals an increase later in the day.

The MOEX Russia Index is expected to open at 2,250–2,255 and can continue to gain back losses, he said.

Finam analyst Sergei Drozdov said that investors will pay attention to participation of Russian Energy Minister Alexander Novak in opening of the eighth summit of the International Energy Agency (IEA), the International Energy Forum (IEF) and OPEC, the rhetoric can influence the oil price, as well as to an expected release of U.S. Energy Department statistics.

According to Shagov, intraday dynamics can depend on the results of OFZ government bond placement by the Finance Ministry as demand will show the interest of non-residents and carry traders in ruble assets ahead of decisions by S&P and Fitch on Russia’s rating.

Startsev said that euro zone’s gross domestic product (GDP) and U.S. retail sales statistics can also influence the Russian session.

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