Russian stocks may edge up on firm oil, favorable background

MOSCOW, Jan 23 (PRIME) -- The Russian stock market may edge up at opening to hit new records later in the day on Tuesday thanks to strong crude prices and a positive global background, analysts said.

“We expect the Russian stock market to open (higher) at around 2,310 of the MOEX Russia Index and believe the benchmark may continue surging to hit another all-time high thanks to a favorable external environment,” Oleg Shagov, head of investment company Solid’s research department, said.

Olma senior analyst Anton Startsev said that technical analysis signals that the RTS’s upward trend is still there, although the benchmark is locally overbought.

Alpari senior analyst Anna Bodrova said that the Brent oil price is consolidating at $69.4 and the market’s positive sentiment may force bulls to break through a $70 mark, which will support Russian stocks.

The major U.S. indices futures and Asian stock exchanges look positive and the European market is likely to rise at opening.

The Russian market will also be driven by news from the World Economic Forum in Davos, as well as releases of 2017 operating reports by Petropavlovsk Plc, which operates gold deposits in Russia, and retailers X5 Retail Group and Lenta.

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