Russian stocks can rise on oil price, foreign markets increase

MOSCOW, Nov 1 (PRIME) -- The Russian stock market will likely open with an upward gap on Wednesday, supported by rising oil prices and foreign market indices, analysts said.  

“The ultimate influence of the key external factors which significantly affect the behavior of the Russian financial market is moderately positive in our estimates today at the start of the day,” Oleg Shagov, head of the investment company Solid’s research department, said.

Brent futures are traded at about U.S. $61.1 per barrel on Wednesday in the morning. U.S. stock market futures are slightly rising, Asian markets are mostly growing and the European premarket signals a small increase during the start of the trading session later in the day, Shagov said.

He said that the MICEX is expected to open at 2,065–2,070 and can continue rising.

Finam analyst Sergei Drozdov said that announcement of the tax reform draft by U.S. President Donald Trump will influence the future dynamics of stock markets and is expected to become the main event of Wednesday.

Shagov said that Russia’s manufacturing purchasing managers' index (PMI) can add optimism to investors; the release is expected on Wednesday.

PhosAgro will release the output figures for July–September and Mosenergo the financials under Russian Accounting Standards (RAS) for January–September, which, according to Shagov, will be the main corporate events.

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