Russian stocks fall on profit taking amid volatile oil prices

MOSCOW, Mar 21 (PRIME) -- Russian stocks decreased on Monday on profit taking after reaching resistance levels, and on the back of oil price volatility, analysts said.

The MICEX fell 0.50% to 1,904.50 and the RTS decreased 0.17% to 883.60.

“The fall of the MICEX was primarily caused by a technical correction. On Friday (March 18), the index reached its record highs since 2008. Today there were no growth drivers, which, of course, were needed for further growth,” Irina Rogova, an analyst at Forex Club, said.

Alexander Kostyukov, an analyst at Veles Capital, said, “It should be noted that the Russian market, as well as global indices, have increased significantly since mid-February and in fact reached resistance levels. That is why market participants are likely to take profit not only on the Russian, but also on global markets in coming days.”

Oil price volatility also depressed the Russian stock market, Andrei Kochetkov, an analyst at Otkritie Broker, said. “Oil prices revived by midday, but it was not enough for Russian stocks,” he said.

The fall of the dollar-denominated RTS was technically limited, because the ruble strengthened to 67.8 against the U.S. dollar by the closing bell.

Oil producers were put under pressure by an intraday drop in oil prices. So, oil major Rosneft fell 0.81% to 313 rubles and oil giant Lukoil went down 0.91% to 2,784.5 rubles.

Growth leaders included state-run companies, stakes in which may be privatized: flagship air carrier Aeroflot rose 4.28% to 73.53 rubles and diamond mining giant ALROSA grew 1.27% to 71.06 rubles.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.29	112.07	12.892
Gazprom	-0.50	149.90	6.090
Lukoil	-0.91	2784.50	3.657
Norilsk Nickel	-1.05	9390.00	2.206
Magnit	-1.27	11255.00	2.088

(68.4026 rubles – U.S. $1)

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