Russian stocks decrease amid lack of drivers, much stronger ruble

MOSCOW, May 20 (PRIME) -- The Russian stock market decreased on Friday amid a lack of drivers and further strengthening of the ruble that negatively affects the stocks of exporters, analysts said.

The MOEX Russia Index fell by 2.60% to 2,373.26, and the RTS index edged down by 0.47% to 1,239.83.

“The Russian stock market continued its decline on the back of profit taking by investors ahead of the weekend and significant strengthening of the ruble,” Vladimir Solovyov from Promsvyazbank said.

Financial group Finam’s analyst Igor Dodonov also said that the continued strengthening of the ruble became “the main negative factor” for the market as it has a negative impact of the stocks of exporters.

Dodonov added that the external news background remained relatively calm as the introduction  of further sanctions against Russia came to a standstill amid no united position in the E.U. on an oil embargo.

According to Freedom Finance analysts, the ruble strengthened further because of the upcoming tax period and the news that Slovakia made its first payment for Russian gas in rubles.

The central bank cancelled its bans on short selling on the exchange by individuals and on leveraged trading for purchases of currency, but the news did not help the market to find its way to positive territory, according to Veles Capital’s analyst Yelena Kozhukhova.

Payment system operator Qiwi continued its rise in light of a buyback program approved by its shareholders earlier this week and in anticipation of its financial results to be released on May 23 and finished the day with an about 19% increase, Freedom Finance analysts said.

Fertilizer producer PhosAgro lost 6.05% on the news that export shipments of mineral fertilizers by Russian Railways fell 11% on the month to 1.9 million tonnes in April, Freedom Finance analysts said.

Aluminum giant UC RUSAL lost 3.39% on the shareholders’ decision not to pay dividends for 2021, Dodonov said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Gazprom	-1.38	263	7.288
Sberbank	-2.71	122.2	4.854
Norilsk Nickel	-2.82	20700	1.348
Lukoil	-3.09	4279	1.319
PhosAgro	-6.05	7450	0.855

(62.4031 rubles – U.S. $1)

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