Russian stocks may rise on positive environ, easing trade war

MOSCOW, Feb 13 (PRIME) -- Russian stocks may open higher on Wednesday supported by a favorable environment, including rising oil prices, and easing concern about the U.S.–China trade war, analysts said.

“It is possible that yesterday’s increase of the RTS Index may continue today at the beginning of trade as technical analysis signals to a strong upward trend after the market has managed to settle above 1,200,” investment company Olma’s senior analyst Anton Startsev said.

The condition of external markets improved after U.S. President Donald Trump stated his readiness to delay introduction of new duties on Chinese imports for the sake of negotiations with Chinese President Xi Jinping, Startsev said.

“We expect the MOEX Russia Index to open with a moderate increase of about 0.3% close to 2,540. The levels of 2,530 and 2,520 will act as the closest support, while the levels of 2,550 and 2,560 will become the resistance. The MOEX Russia index will price in the continuous improvement of the external background in the first minutes of trade,” Vitaly Manzhos, senior risk manager at investment company Algo Capital, said.

The U.S. stock index futures grew by up to 0.5%, the Brent oil price rose by 0.7%, Japan’s Nikkei225 added 1.4%, and Hong Kong’s Hang Seng rose by 1%, Manzhos said.

Manzhos also said that the local market will traditionally track the oil price dynamics in the second half of the day, for which the key factor would become the release of weekly statistics on crude and oil product reserves in the U.S. from the Energy Department.

End