Russian stocks edge up on positive environment, ruble fall

MOSCOW, Dec 27 (PRIME) -- Russian stocks increased on Wednesday supported by rising European floors with the MOEX Russia Index outperforming the RTS index due to contraction of the ruble against the U.S. dollar, analysts said.

The MOEX Russia Index rose 0.44% to 2,106.17 and the RTS increased 0.34% to 1,148.92.

“The external background was positive thanks to the growth of indices in the E.U. and to the weakening of the U.S. dollar at the DXY, and it helped the Russian indices to start the day with growth,” Yevgeniya Abramovich, head of the currency risks analysis department at Swiss brokerage house Dukascopy Bank S.A., said.

Irina Rogova, an analyst at Forex Club group of companies, said that resumed growth of the MOEX Russia Index was also connected to the failure of “bears” to hold the index below the key support of 2,090 points.

“It was partially supported by a noticeable contraction of the ruble. The Russian currency tried to grow today, but the U.S. dollar started a rebound from the level of 57.35 rubles. The ruble lost support of the tax period,” Rogova said.

The ruble fell 16 kopecks against the U.S. dollar to 57.78 rubles as of 6.05 p.m. Moscow time, according to the Moscow Exchange.

Andrei Kochetkov, an analyst at Otkritie Broker, said that the weak ruble supported shares of Russian exporters. Metals and mining group Mechel rose 3.24% to 140.40 rubles, steelmaker Novolipetsk Steel (NLMK) gained 0.69% to 148.25 rubles, and Magnitogorsk Iron and Steel Works (MMK) rose 0.73% to 41.97 rubles.

Shares of Russia’s second largest bank VTB rose 1.28% to 0.04745 rubles due to strong financial results. The bank’s net profit more than doubled to 98.8 billion rubles in January–November, as calculated under International Financial Reporting Standards (IFRS), Kochetkov said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+1.53	226.98	6.778
Lukoil	-0.14	3283.50	2.147
Gazprom	-0.16	130.99	2.096
VTB	+1.28	0.04745	2.047
Sistema	-6.77	12.40	1.350

(57.7343 rubles – U.S. $1)

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