Russian stocks may fall on negative external environment

MOSCOW, Oct 8 (PRIME) -- The Russian stock market may continue to correct down on Monday due to a mainly negative foreign background including the energy market correcting down and the U.S. having new complaints against China, analysts said.

“The Russian stock market is likely to open lower on Monday to deepen the downward correction… The week is to be nervous for the local capital markets… The domestic market has no considerable reasons for optimism,” Alpari senior analyst Anna Bodrova said.

Asian benchmarks are seen lower after the U.S. accused China of alleged meddling in the congressional elections coming in November, she said.

The energy market is reversing downwards, she added. The market has been hurt by recent statements of Saudi Arabia’s prince that the country may launch available facilities to cover the existing deficit of crude. The Brent oil price lost 1% to around U.S. $83.4 per barrel which may impact Russian oil and gas stocks and spark a domino effect.

Olma senior analyst Anton Startsev also said that the RTS index is likely to continue to edge down at opening.

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