Russian stocks may edge up on rising oil price, positive environment

MOSCOW, Jun 26 (PRIME) -- Russian stocks are likely to edge up at opening on Tuesday supported by rising oil prices and an improving external background, analysts said.

“We expect the MOEX Russia Index to open with an about 0.3% increase close to a 2,245 mark. The levels of 2,230 and 2,220 will act as the closest support, while 2,260 and 2,270 will become the resistance,” Vitaly Manzhos, a senior risk manager at investment company Nord Capital, said.

The background for the Russian market in the morning is moderately positive with the U.S. stock index futures rising about 0.2%, the Brent oil price gaining about 0.15%, Japan’s Nikkei225 growing 0.1%, and Hong Kong’s Hang Seng falling 0.2%, Manzhos said.

Anton Startsev, a senior analyst at investment company Olma, said that the world oil prices remain high enough to support investor interest to Russian shares.

“But the inflow of money into the emerging markets in general is prevented by concerns over the prospects of the trade war between the U.S. and China. The increase of volatility at the U.S. stock market with the VIX index gaining 26% in one day should become a warning sign for investors at stock markets,” Startsev said, adding that consolidation of the RTS index around the current figures is the most relevant scenario.

Mikhail Poddubsky, chief analyst at Promsvyazbank, also said that the dividend payment season, hopes for a productive meeting between the Russian and the U.S. presidents in July, and a lack of negative response to the OPEC+ meeting may curb the negative impact on the Russian stock market.

Manzhos also said that investors will track the release of the U.S. consumer confidence statistics later in the day.

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