Russian stocks likely to move downwards on negative oil dynamics

MOSCOW, Nov 16 (PRIME) -- The Russian stock market is likely to demonstrate downward dynamics at the beginning of the trading session on Thursday in light of negativity on the global crude market, analysts said.

“We expect more active sales in local stocks at the beginning of the trading session today, which can be triggered by a fall of the nearest Brent oil futures to the lower bracket of the U.S. $80–85 per barrel range,” senior analyst at financial supermarket Banki.Ru Bogdan Zvarich said.

“It is discouraging news for the Russian market so the energy sector will be under pressure. In the conditions, the MOEX Russia Index can resume its correction downward movement to 3,200 by the end of the trading session,” he added.

Zvarich sees the global market environment as moderately negative with the main Asian market losing up to 0.5%, the core U.S. benchmarks consolidating at the previous levels, and the Brent oil price falling by 0.6% to $80.7 per barrel.

Alexei Golovinov, chief analyst at PSB Bank, expects the MOEX Russia Index to move within the range of 3,180–3,240 and to demonstrate no confident growth dynamics.

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