Russian stocks likely to fall on unfavorable background

MOSCOW, May 2 (PRIME) -- The Russian stock market is likely to decrease at opening on Tuesday over lack of support from external background, analysts said.

“The MOEX Russia Index decreased down to 2,608 points. The fall was bought off, but the general background does not dispose for continuation of growth yet,” BitRiver’s financial analyst Vladislav Antonov said.

Additional pressure on the market was provided by strengthening of the ruble, the analyst also said.

BCS World of Investment said in a research note that there are no reason for recovery on the market so far, as over the long Russian weekend the global commodity index is down, while Brent oil is also under pressure, below U.S. $80 per barrel, and the Russian market is sensitive to commodity prices.

Bogdan Zvarich, senior analyst at financial platform Banki.ru, said that if the dollar–ruble fails to break through the support levels in the 79–79.5 rubles range, the potential for the ruble to return to the uptrend zone is open.

The main focus this week is the U.S. Federal Reserve System meeting and the tone of its decision on the key rate in the future, the analyst also said. The regulator is likely to surprise the market, which could put pressure on the dollar's position, he added.

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