Russian stocks decrease after negative trend on foreign markets

MOSCOW, Feb 5 (PRIME) -- The Russian stock market declined on Monday as local investors followed a downward trend of foreign trade floors, while oil prices did not support the stocks, analysts said.

The MOEX Russia Index fell 0.22% to 2,276.85 and the RTS index decreased 0.71% to 1,263.77.

“The Russian stock market started a new five-day trade period with a sag, and sales were quite aggressive at the start of the trade: the leading indices lost about 1.5% reacting to a Friday’s decline of the Wall Street and continuation of correction on Asian markets… All this is triggering negative dynamics of domestic indices which erased losses to a certain extent after noon after an emotional start,” Igor Kovalyov, an analyst at InstaForex group of companies, said.

He said that the Brent oil price dynamics were neutral and did not influence the market.

Sergei Melnikov, chief analyst at Forex broker Global FX, said that bond yields are soaring worldwide and this factor forces investors to sell shares as they fear that corporate lending rates will rise.

He said that investors still worry over anti-Russian sanctions despite statements that the U.S. authorities do not want to put restrictions on purchase of the Russian state debt.

Russia’s Services Purchasing Managers' Index (PMI) fell to 55.1 in January from 56.8 in December, which, according to Kovalyov, was an additional negative factor for the Russian market.

Below are the MOEX Russia Index’ five most active stocks on Monday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.65	255.64	11.768
Gazprom	+0.37	144.53	4.771
Magnit	-1.63	4950	2.857
Lukoil	-1.19	3752	2.726
Norilsk Nickel	+0.74	11581	1.947

(56.0408 rubles – U.S. $1)

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