Russian stocks close mixed on rate cut, EU sanctions, Brent rise

MOSCOW, Jan 30 (PRIME) -- Russian stocks closed mixed in volatile trading caused by the central bank’s cut of a key rate, the E.U. decision to prolong sanctions, the falling ruble and a moderate rise of the Brent price, analysts said.

The MICEX rose 0.49% to 1,647.69 and the RTS decreased 1.35% to 737.35.

“The E.U sanctions decision and the uncertainty around SWIFT increased volatility on the stock market,” Sergei Filchenkov, analyst at Metropol, said.

Sofia Kirsanova, analyst at Raiffeisen Capital, said the market saw the central bank’s decision to decrease the key rate as inconsistent and concession to banks, while fears that Russia may be switched off SWIFT still rattle the market.

Central bank’s rate cut pushed the ruble down and put the dollar-denominated RTS under pressure. The ruble-denominated MICEX rose in the wake of a moderate rise of the Brent price, supported by exporters, which became safe haven following the devaluation, the analyst said.

The banking and financial sectors gained from the central bank’s rate cut. Otkritie Bank rose 9.49% to 1,477 rubles.

Retailer Lenta rose 4.38% to 405 rubles as it announced “deleverage” plans, Kirsanova said.

ALROSA, which said it is likely to grow this year despite the crisis, rose 2.87% to 78.49 rubles, the analyst said.

Surgutneftegas rebounded after its fall on Thursday, its preference shares rose 6.76% to 31.10 rubles.

Oil and gas pipe maker TMK fell 0.21% to 46.9 rubles on the absence of new pipeline projects after Russia scrapped South Stream, Kirsanova said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+1.65	61.50	11.812
Gazprom	-0.81	143.82	5.885
Lukoil	-1.94	2789.90	3.400
Norilsk Nickel	+1.34	11610.00	2.838
Surgutneftegas pref	+6.76	31.10	2.608

(68.7303 rubles – U.S. $1)

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