Russian stocks close lower as ruble weakens

MOSCOW, Oct 31 (PRIME) -- Russian stocks contracted on Tuesday mainly due to a falling ruble, analysts said.

The MICEX fell 0.05% to 2,064.31 and the RTS decreased 0.95% to 1,113.41.

“The Russian stock market was pessimistic on Tuesday. The MICEX remained close to the opening point on the background of negative dynamics of the ruble,” Anastasiya Sosnova, a leading analyst at Bank Rossiysky Capital, said.

Yevgeniya Abramovich, head of the currency risks analysis department at Swiss brokerage house Dukascopy Bank SA, said that the RTS index contracted due to the weakening of the ruble against the U.S. dollar, while the MICEX index was supported by the shares of oil and gas companies that followed high oil prices. The Brent oil price climbed close to a $61 level waiting for the release of data from the American Petroleum Institute, she said.

Lukoil gained 1.24% to 3,096 rubles, and Tatneft rose 2.76% to 436 rubles.

Andrei Kochetkov, an analyst at Otkritie Broker, said that the ruble fall supported metals exporters. Norilsk Nickel gained 0.02% to 10,592 rubles, and Magnitogorsk Iron and Steel Works (MMK) increased 0.68% to 44.15 rubles.

Shares of mobile operator MegaFon plummeted early in the day on the news that Sweden’s Telia Company agreed to sell its 19% stake in the operator to Gazprombank for 514 rubles per share. But the shares rebounded later supported by rumors that the stake may be resold to a strategic investor. MegaFon rose 1.59% to 580 rubles.

Below are the MICEX’ five most active stocks on:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.62	193.80	5.001
Magnit	-4.10	7693.00	3.587
Lukoil	+1.24	3096.00	3.194
Norilsk Nickel	+0.02	10592.00	1.941
Aeroflot	-2.36	180.00	1.555

(57.8716 rubles – U.S. $1)

End