Russian stocks recover on Chinese data, TrumpЦPutin oil talks
MOSCOW, Mar 31 (PRIME) -- The stock market grew on Tuesday, continuing recovery after last week's decline on hopes sparked by the Chinese statistics and negotiations between Russian President Vladimir Putin and U.S. President Donald Trump on the oil market situation, analysts said.
The MOEX Russia Index grew 3.10% to 2,508.81, and the RTS Index rose 5.83% to 1,014.44.
"The Chinese statistics demonstrated that the quarantine measures and other steps can defeat the COVID-19 and business activity can resume fast,Ф investment company OlmaТs senior analyst Anton Startsev said.
УThe (Russian) market was set to grow from the very beginning and stopped only at 2,526 of the MOEX Russia Index, where the Russian bulls lacked confidence because oil is a reminder of the reason why mineral resources are in low demand."
China's Manufacturing Purchasing Managers' Index (PMI) rose to 52 in March from a record low of 35.7 in February.
Startsev said that the Chinese data signaled that business activity in the developed markets could start to recover in MayЦJune.
Yaroslav Kabakov, director for strategy at Finam, said that the news on stabilization of the coronavirus spread in Italy after four days of decline in the number of new cases and the death toll also encouraged the markets around the globe.
The European markets grew at the start of the day but later the trend stopped. Oil tried to recover from its 18-year lows as the U.S. Texas energy ruler called for reduction of oil stocks, and investors hoped that Monday's negotiations between Trump and Putin would lead to a joint decision on oil output restrictions, Startsev said.
Kabakov said that oil production is to fall by 10 million barrels per day in all regions of the world, including the OPEC member states. Besides, China has started to raise purchases of Russian oil, which means that most of the reduction volume would be represented by U.S. shale oil producers.
Below are the MOEX Russia IndexТ five most active stocks on Tuesday:
|Company||Change, %||Last price, rbl||Trading volume, bln rbl|
(77.7325 rubles Ц U.S. $1)