Russian stocks may edge up at opening following recent rally

MOSCOW, Sep 28 (PRIME) -- The Russian stock market will likely edge up at opening on Friday following Thursday’s optimism, but may reverse later in the day on profit taking, analysts said.

“Purchases on the Russian stock market are likely to continue in the morning following yesterday’s closing at almost all-time highest level. However, the market is technically overheated so traders are unlikely to need a considerable reason for a downward correction,” Alor Broker analyst Alexei Antonov said.

On Thursday, U.S. Department of the Treasury Assistant Secretary Marshall Billingslea said that Russia’s economy is too large and well-integrated into the global economy, international financial system, and global supply chains to use against it similarly tough sanctions as against Iran or North Korea which resulted in a rally on the domestic stock market.

Antonov also said that the Friday factor may force investors to take profits and close marginal long positions.

Olma senior analyst Anton Startsev said that the RTS index’s upward trend is still in force, but investor activity may decline during the day due to the closing of a week, a month and a quarter.

Local investors will also track the decision on dividends for January–June by the board of directors of oil major Rosneft.

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