Russian stocks fall on low trading volume, Brexit fears

MOSCOW, Jan 16 (PRIME) -- The Russian stock market decreased on Monday after a day of low trading volumes because of fears in Europe connected with Brexit and an oil market consolidation, analysts said.

The MICEX decreased 0.28% to 2,189.07 and the RTS fell 0.62% to 1,151.05.

“The Russian stock market fully compensated for an increase in the first half of the trading session during the second half of the day… The absence of new ideas for a focused trend and the absence of trade in the U.S. favored a decrease of activity of participants and as a result, profit taking from shorts was enough to take the market back to the level of Friday (January 6) closing,” Finam analyst Bogdan Zvarich said. 

Andrei Kochetkov, an analyst at Otkritie Broker, said that the trading activity was lower than usual amid Martin Luther King Jr. Day celebrations in the U.S.

The oil market was seeing a lull despite statements by the Iranian Energy Minister, who said that the expected oil production decline in and outside OPEC would be enough to support further oil price growth, Kochetkov said. According to Zvarich, the commodities market situation returned buyers to the Russian market mid-day, after sales in the morning.

Irina Rogova, an analyst at Forex Club group of companies, said that a decrease of European markets ahead of a speech by U.K. Prime Minister Theresa May, who investors fear can announce harsh Brexit terms, was an important negative factor for Russian assets.

The Moscow Exchange suspended trade for about 45 minutes from 2:34 p.m., Moscow time.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.15	164.66	6.219
Gazprom	-1.35	155.81	2.655
Magnit	+1.97	9830	1.869
Lukoil	-1.52	3240	1.733
Norilsk Nickel	+0.05	9761	1.340

 (59.3700 rubles – U.S. $1)

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