Russian stocks likely to open neutrally on oil price correction

MOSCOW, May 14 (PRIME) -- The Russian stock market will likely open with little change as oil prices have started to correct downwards, analysts said.

“A pause in the increase in the Russian blue chip sector is possible today at the start of trade on the back of cooling speculative activity on the oil market,” Olma senior analyst Anton Startsev said.

According to Sergei Drozdov, an analyst at investment company Finam, oil prices were supported by speculations about the U.S.–Iran nuclear deal cancellation. Drilling rig figures by Baker Hughes were used by market participants as a formal trigger to correct downwards to U.S. $77.13 per barrel.

Vitaly Manzhos, a senior risk manager at investment company Nord Capital, said that the MOEX Russia Index is expected to open unchanged close to 2,345. The nearest support levels are 2,330 and 2,320 and resistance is at 2,350 and 2,360.

According to Startsev, the RTS will stop rising after reaching 1,200.

Rosneft’s financial report for January–March under International Financial Reporting Standards (IFRS) will be the most important corporate event of Monday, he said.

End