Russian stocks edge up ahead of Fed meeting amid lack of drivers

MOSCOW, Mar 17 (PRIME) -- Russian stocks rose on Tuesday amid a lack of significant growth drivers ahead of the start of the U.S. Federal Reserve’s (Fed) meeting, as well as amid the ruble strengthening and ongoing de-escalation in Ukraine, analysts said.

The MICEX rose 0.11% to 1,611.69 and the RTS increased 1.22% to 822.76.

Russian stocks managed to keep weak but positive dynamics till the end of the trading session amid a lack of significant news and growth drivers, Anton Fomin, analyst at InstaForex, said.

“In absence of local events market participants shifted their attention to overseas as a 2-day meeting of the U.S.’ Federal Reserve System on monetary policy will start today. If authorities announce that they are ready to increase the key rate in the foreseeable future it will cause significant strengthening of the dollar and is likely to put some pressure on global stock indexes,” Fomin said.

Investors were also somewhat encouraged by ongoing de-escalation of the Ukrainian conflict ahead of an E.U. summit scheduled for Thursday–Friday and upcoming dividend and reporting periods, Finam analyst Timur Nigmatullin said.

Ruble-denominated stocks were supported by an upward correction of the national currency, which rose on the back of statements made by the central bank and the Finance Ministry on Monday that the ruble is underestimated by 10%, Andrei Dirgin, head of analytical department at Alfa-Forex, said.  

E.ON Russia rose 5.28% as the company reported a17% increase in its IFRS 2014 net profit, Fomin said.

Stocks of debt-ridden Mechel fell 1.49% as they were still under pressure exerted by a Monday statement of Economic Development Minister Alexei Ulyukayev that company’s bankruptcy is almost unavoidable, Fomin said.

Below are the MICEX’ five most active stocks on Tuesday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-1.40	64.65	11.909
Gazprom	-0.04	139.70	3.805
Lukoil	+0.86	2689.00	2.958
Norilsk Nickel	+2.88	10595.00	2.106
Alrosa	+4.01	82.80	1.361

(62.1497 rubles – U.S. $1)

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