Russian stocks close mixed amid low oil price, weak ruble

MOSCOW, Jul 26 (PRIME) -- Russian stocks closed mixed on Tuesday, while the MICEX rebounded after falling on weak oil prices and global stocks, and the dollar-denominated RTS went down due to depreciation of the ruble against the U.S. dollar.

The MICEX rose 0.35% to 1,938.52 and the RTS decreased 0.64% to 924.74.

“On Tuesday, there was high volatility on the Russian stock market, while the MICEX fell below 1,920 in the first half of the trading session on the back of lower oil prices and falling global stocks, but rebounded to 1,935 by the closing bell. The weakening of the ruble was less volatile and resulted in another decrease of the RTS,” Promsvyazbank senior analyst Ilya Frolov said.

Veles Capital’s analyst Alexander Kostyukov said, “Electric power companies were growth leaders again.”

Vitaly Manzhos, a senior analyst at Bank Obrazovanie, said that Russian Grids and retailer Magnit were still supported by strong financial results, which were published yesterday.

Russian Grids, whose net profit jumped to 140.12 billion ruble under Russian Accounting Standards (RAS) in January–June, grew 2.45% to 0.8657 rubles.

Magnit, whose net profit rose 13.14% in April–June under International Financial Reporting Standards (IFRS), increased 3.71% to 10,475 rubles.

Oil companies were depressed by lower oil prices, Manzhos said. State-run oil major Rosneft decreased 1.2% to 330 rubles and Tatneft went down 1.64% to 317.7 rubles.

High-yield preferred shares of oil and gas company Surgutneftegas were an investors’ safe haven on the back of the ruble’s weakening and increased 0.71% to 34.2 rubles, the analyst said.

InstaForex analyst Igor Kovalyov said the ruble put the financial sector under pressure. Common shares of the Moscow Exchange fell 2.43% to 114.5 rubles.

The ruble weakened to about 66 against the dollar by the end of the trading session.

Below are the MICEX’ five most active stocks on Tuesday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.18	135.75	8.772
Magnit	+3.71	10475.00	4.190
Gazprom	-0.01	140.69	2.497
Russian Grids	+2.45	0.8657	1.861
Surgutneftegas pref	+0.71	34.20	1.823

(64.9184 rubles – U.S. $1)

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