Russian stocks may open flat due to lack of strong drivers

MOSCOW, Mar 31 (PRIME) -- The Russian market is likely to open flat on Friday amid a neutral global background, analysts said.

The MICEX may open in a 2,020-2,025 range and fluctuate during the day because of a lack of significant drivers, Oleg Shagov, head of investment company Solid’s research department, said.

“Expiration of May Brent futures will add volatility to the dull market… the futures are consolidating above $52 per barrel ahead of expiration and a shift of investor activity to June contracts,” he added.

Andrei Vernikov, deputy CEO for investment research at Zerich Capital Management, said that crude prices have been trading mixed lately preventing the Russian market from a sharp rise or a decline.

“We expect the market to go to the red territory in early trade,” Finam analyst Bogdan Zvarich said. He added that a bullish trend may appear on the hydrocarbon market later in the day, the Brent oil price may bounce back from $52.5 to support Russian stocks.

The major U.S. indices futures are easing, the Asian markets are trading mixed. The European premarket points to the possibility of a slide at opening.

Investors in Russia may follow publication of Enel Russia’s RAS financial results for 2016 and Fitch Ratings’ upgrade of Russian ratings among other corporate events.

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