Russian stocks likely to open higher thanks to strengthening crude

MOSCOW, Jan 9 (PRIME) -- The Russian stock market is likely to open higher and rise during the day on Monday thanks to a positive foreign background and strengthening crude prices, analysts said.

“The Russian financial market has spent the lengthy holidays very calmly, without steep changes. The trading volumes were record low as many retail investors, who form 80% of the trading, were absent. We expect the investors to return to the market today,” Alor Broker analyst Alexei Antonov said.

Investors closed long positions on the stock market and bought U.S. dollars before the New Year holidays, and the trend should reverse now, he added.

Antonov sees the external background as positive for ruble assets with most industrial and precious metals advancing, and the Brent oil price adding 1.3% to around U.S. $80 per barrel, and expects the local market to open higher and rise during the trading session.

Senior analyst at financial supermarket Banki.Ru Bogdan Zvarich also expects the Russian stock market to rise to the area of 2,170 thanks to higher oil prices.

Zvarich however said that the technical analysis points to the possibility of a further fall of the MOEX Russia Index to December’s lows of 2,050–2,100.

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