MOSCOW, Mar 6 (PRIME) – The Russian stocks corrected upwards on Wednesday helped by market reaction to Lukoil’s robust 2018 results and Norilsk Nickel, which increased in line with a rise in the price of metals, analysts said.
The MOEX Russia Index rose 1.13% to 2,494.04 and the RTS increased 0.96% to 1,191.51.
“From a fundamental point of view, it looks like investors have become tired of endless sanctions expectations, and switched to some corporate stories that moved the whole market as a result. Still, the Wednesday bulls may try to take their profits tomorrow if the external background does not change significantly until Thursday morning,” Yelena Kozhukhova, analyst at Veles Capital, said.
Sofya Kirsanova, analyst at managing company Raiffeisen Capital, said that Lukoil gained 1.61% to 5,713 rubles as investors were still pricing in strong financial results for 2018 and its plans to start a new buyback. Norilsk Nickel grew 4.88% to 14,442 rubles supported by high prices for nickel and copper, while Tatneft rose by 0.79% to 766 rubles trying to regain losses of the previous two weeks.
Andrei Kochetkov, Otkritie Broker’s analyst, said that the Russian stock market was oversold after several consecutive trading sessions of sales and tried to regain some ground while the background was neutral.
“On Wednesday, the Russian stock market grew after six days of contraction in spite of a lack of obvious growth triggers…The news flow this week is largely neutral, as there is no progress in the U.S.–China trade talks, while a downgrade of China’s gross domestic product (GDP) growth expectations to 6–6.5% in 2019 was partially balanced by the plans of authorities to cut taxes,” Kirsanova said.
Below are the MOEX Russia Index’ five most active stocks on Wednesday:
| Company | Change, % | Last price, rbl | Trading volume, bln rbl |
|---|---|---|---|
| Sberbank | +1.03 | 205.00 | 10.817 |
| Norilsk Nickel | +4.88 | 14442.00 | 4.556 |
| Lukoil | +1.61 | 5713.00 | 4.385 |
| Gazprom | +0.65 | 154.20 | 2.640 |
| Moscow Exchange | +1.32 | 93.60 | 1.240 |
(65.8004 rubles – U.S. $1)
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