Russian stocks may drop in line with Western bourses, oil prices

MOSCOW, May 13 (PRIME) -- Russian stocks are projected to decrease at the opening on Wednesday following negative dynamics of Western bourses and falling oil prices, analysts said.

“We expect the MOEX Russia Index to open with a significant decrease of 0.5–1.0%, in the range of 2,615–2,630 points. The nearest support levels will be 2,610 and 2,600 points. The main resistance will be at 2,650 and 2,670 points,” Vitaly Manzhos, senior risk manager at investment company Algo Capital, said.

Before the start of trading in Russia, the U.S. stock index futures are adding 0.2–0.3%, Brent oil futures lost 1.7%, China’s Shanghai Composite decreased 0.1%, and Japan’s Nikkei225 edged down 0.3%.

Olma senior analyst Anton Startsev said, “Some downward correction on the RTS Index is possible at the start of trading today following global indices. Volatility increased again on Western stock markets, reflecting uncertainty about companies’ ability to justify the current values of financial multiples in the face of restrictive measures.”

Alor Broker analyst Alexei Antonov expects the Russian stock market to open with a decrease of around 0.3%.

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