Russian stocks likely to edge up backed by rocketing crude prices

MOSCOW, Sep 16 (PRIME) -- The Russian stock market is likely to grew at the opening on Monday thanks to a 10% jump in oil prices following an incident in Saudi Arabia, analysts said.

“The key news of the week’s opening is undoubtedly a sharp rise in oil prices following attacks on Saudi Arabia’s refineries. Oil price volatility is restrictive for global investors’ risk appetite, but for the Russian stock market, which consists of around 50% of energy stocks, the market environment is seen as positive,” Promsvyazbank senior analyst Mikhail Poddubsky said.

Fire blasted at two key oil installations of Saudi Aramco, Saudi Arabia’s national energy operator, following drone attacks on September 14, which sparkled a 10% rise in crude prices.

Vitaly Manzhos, senior risk manager at investment company Algo Capital, said that the MOEX Index Russia may show an around 1% upward gap at the beginning of the session to open into 2,820.

Poddubsky also said that the optimistic sentiment on global markets, which prevailed during the past week, has faded. The major U.S. indices futures are losing around 0.5–1% as investors move their focus to the upcoming meeting of the U.S. Federal Reserve, which will discuss the key interest rate on Wednesday.

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