Russian stocks decrease on US–China tensions

MOSCOW, Aug 2 (PRIME) -- The Russian stock market fell on Tuesday following a global negative trend caused by escalation of the U.S.–China tensions, analysts said.

The MOEX Russia Index fell 1.96% to 2,137.30, and the RTS index decreased 1.99% to 1,116.12.

"Risk avoidance prevailed on the foreign stock markets on Tuesday boosted by uncertainty about future relations between China and the U.S. The Russian market did not find significant drivers for an increase and remained in the red zone without big chances for improvement of the mood during the session," Veles Capital’s analyst Yelena Kozhukhova said.

Kozhukhova said that the external markets mood was moderately negative -- in Europe the Euro Stoxx 50 index lost about 0.6% by the middle of the session after U.S. House of Representatives Speaker Nancy Pelosi headed to Taipei. The Brent and WTI nearest futures remained above the support levels of U.S. $98 and $92 per barrel respectively ahead of an OPEC+ meeting. The U.S. S&P 500 corrected downwards by 0.6% on the political issues.

Otkritie Research leading analyst Andrei Kochetkov said that reports about a possible proposal by Saudi Arabia to raise oil output in the framework of the OPEC+ deal pressured the oil prices, but the U.S. oil reserves fell to a 37-year minimum last week, which prevented the prices from decreasing further.

According to Kozhukhova, X5 Retail Group presented a strong financial report for April–June and announced strategic partnership with the Krasny Yar and Slata regional store chains, but investors preferred to take profit on the news, and the shares decreased 1.86%.

Norilsk Nickel fell ahead of a release of a financial report for April–June and possible dividend statements, Kozhukhova said.

Kochetkov said that the IT, oil sector and energy companies were weaker than the rest of securities.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+0.15	127.53	5.596
Gazprom	-2.52	187.16	4.583
Lukoil	-2.75	3823	2.263
Norilsk Nickel	-2.89	15140	1.843
Novatek	-2.51	1009	1.354

(62.0506 rubles – U.S. $1)

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