Russian stocks may slightly fall on oil downward correction

MOSCOW, Jul 22 (PRIME) -- Russian stocks may slightly decrease at the opening on Wednesday amid a moderately negative foreign background and oil correcting after a hike on Tuesday, analysts said.

“The external background before the start of trading in Russia is slightly negative. Oil is correcting after a sharp rise in quotations the day before. Asian markets are not sure that the next stimulus package in the U.S. could fall prey to the election campaign… It is likely that the domestic market will start the day in a slight minus, but the ruble is quite capable of continuing to strengthen, especially since on Wednesday OFZ auctions are held, which traditionally have a positive effect on the Russian currency,” Otkritie Broker analyst Andrei Kochetkov said.

Olma senior analyst Anton Startsev said, “The external background before the opening of trading can be considered moderately favorable for the Russian stock market, but so far there is no sufficient reason to exit the consolidation on the RTS index. Market participants expect stimulating measures from the E.U. and the U.S., but at the same time, judging by the dynamics of gold prices (+22% since the beginning of the year), they remain interested in ‘defensive’ assets.”

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