Russian stocks edge down on lower risk appetite, weaker crude

MOSCOW, Apr 25 (PRIME) -- The Russian stock market fell on Wednesday due to weakening oil prices and shrining risk appetite worldwide, analysts said.

The MOEX Russia Index eased 0.01% to 2,253.50 and the RTS decreased 1.40% to 1,137.62.

“Rising concerns about tightening of U.S. monetary policy and declining crude prices were the main reasons for a fall of the domestic benchmarks,” Yevgeniya Abramovich, head of the currency risks research department at Swiss brokerage house Dukascopy Bank S.A., said.

The Brent oil futures declined to around U.S. $73.5 per barrel pressuring energy stocks. Oil company RussNeft was among the biggest losers falling 2.55% to 516 rubles.

Otkritie Broker analyst Andrei Kochetkov said that global investors tend to avoid any risk. The yield of the world’s most reliable U.S. 10-year treasuries increased to 3.02%, which puts all risky assets, including Russian stocks, at a disadvantage.

Almost all blue chips traded in the negative territory. Sberbank fell 1.14% to 220.45 rubles, Gazprom lost 1% to 142.7 rubles, and Norilsk Nickel sagged 0.52% to 10,803 rubles.

Oil major Rosneft reversed the trend soaring 5.04% to 370 rubles on the news it plans to pay 50% of the 2017 net profit in dividends for the year.

Independent gas producer Novatek dropped 0.44% to 740.4 rubles after it published an IFRS financial statement for January-March marking a 39% fall in the net profit.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-1.14%	220.45	15.381
Rosneft	+5.04%	370	4.321
Gazprom	-1%	142.7	3.394
Magnit	_+1.21%	4786	2.441
Lukoil	+0.74%	4029	2.026

(61.6644 rubles – U.S. $1)

End