Russian stocks erase losses as concerns over US sanctions calm down

MOSCOW, Aug 6 (PRIME) -- The Russian stock market grew on Tuesday, correcting after Monday’s losses, as concerns over the U.S. sanctions abated and the foreign market and oil price trends were mostly positive, analysts said.

The MOEX Russia Index grew 1.29% to 2,683.35, and the RTS index increased 0.95% to 1,294.50.

“The fears connected with the U.S. sanctions are fading away on the domestic market. Nevertheless, this does not mean that the current recovery will be long and sustainable, and will continue. Everybody’s attention is focused on the trade conflict between Washington and Beijing which has exploded over the last few days, which does not favor the interest to purchases of high-yielding assets,” Arseny Dadashev, director of Finance and Investment Management Academy, said.

Raiffeisenbank said that judging by the statements by U.S. President Donald Trump, the sides of the trade conflict are far from a compromise yet. China is not going to make concessions and might retaliate to protectionist measures by weakening the yuan.

According to Otkritie Broker’s senior analyst Andrei Kochetkov, the situation in Europe eased after the People’s Bank of China raised the yuan guidance.

The oil price jumped in the morning but this trend ended in the middle of the European trading session, he said.

Kochetkov said that Tatneft’s shares rallied after the board of directors offered to pay 40.11 rubles per share in dividends.

Aeroflot was in the green zone, rising 1.16% due to the oil price decrease, Kochetkov said.

Polymetal was among the market leaders, growing 2.55% and on the back of rising interest to precious metals, he said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+1.7	226.01	10.994
Gazprom	+1.41	226.76	6.888
Lukoil	+1.86	5234.5	6.823
Tatneft	+3.29	740	2.579
Norilsk Nickel	+2.04	14482	2.383

(65.0546 rubles – U.S. $1)

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