Russian stocks may slide amid worries about Greek debt

MOSCOW, Jun 29 (PRIME) -- The Russian stock market may see a significant decline at Monday opening because by now it is almost certain that Greece will not repay its debt to the International Monetary Fund (IMF) until the deadline slated for Tuesday, analysts said.

“The Russian stock market may witness a bearish pressure in the context of investors’ worries about unfavorable events in Greece,” Oleg Shagov, senior analyst at investment company Solid, said.

The key Asian indices, U.S. stocks futures and Brent oil quotations are falling on Monday, Promsvyazbank analysts Ilya Frolov and Yevgeny Lokhtyukhov said.

Russian indices may sag by up to 2%, and as far as there is a protraction with Greece’s bailout, there will be more traders wanting to sell risky assets, Vasily Oleinik, an analyst at ITInvest, said.

Athens can come back to debt negotiations after a referendum on bailout conditions on Sunday.

The rest of factors will be of less importance for the Russian market on Monday, and the MICEX will enter a volatile consolidation with investors waiting for the Greek events to unfold, Vitaly Manzhos, senior analyst at Bank Obrazovanie, said.

There are also some concerns that Chinese stocks are overbought, Olma senior analyst Anton Startsev said.

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