Russian stocks fall on decreasing oil prices, banking sector dip

MOSCOW, Jun 5 (PRIME) -- The Russian stock market dropped on Tuesday as oil prices fell and the banking sector eased on the back of strengthening of the ruble and decline of the Services Purchasing Managers’ index (PMI), analysts said.

The MOEX Russia Index fell 0.23% to 2,318.23 and the RTS index decreased 0.59% to 1,172.77.

“The external background was quite positive but the Brent oil price, which slid to the level of U.S. $74 per barrel, was a negative factor for the Russian market,” Andrei Kochetkov, an analyst at Otkritie Broker, said.

The oil market was agitated by media speculations that the U.S. sked key oil producing states to raise output by 1 million barrels a day, he said.

Veles Broker analyst Yelena Kozhukhova said that the MOEX Russia Index and the RTS were slightly lower than the resistance level of 2,320 and 1,175, which they exceeded on Monday, but still managed to retain a part of the earlier gains.

Kochetkov said that the oil and gas sector was the market outsider.

The ruble ascended pressurizing the banking sector, Kochetkov said. Decrease of the Manufacturing and Services PMI in May also disappointed investors in the sector, he said.

VSMPO-Avisma fell 3.12%, trading with an ex-dividend gap, Kochetkov said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-2.02	215.56	11.172
Rosneft	-0.77	381.95	8.462
Lukoil	-0.49	4278	4.545
Gazprom	-0.30	146	1.855
Norilsk Nickel	+0.67	11551	1.126

(61.9290 rubles – U.S. $1)

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