Russian stocks rise as EU central bank keeps rates unchanged

MOSCOW, Jul 21 (PRIME) -- Russian stocks increased in thin trade on Thursday after the European Central Bank kept its rates unchanged, analysts said.

The MICEX grew 0.66% to 1,927.70 and the RTS increased 0.04% to 947.07.

“The stocks rose following a meeting of the European Central Bank’s on its monetary policy. In general, everything was as expected – the regulator did not make changes,” Irina Rogova, an analyst at Forex Club, said.

Otkritie Broker analyst Andrei Kochetkov said there were no significant drivers on the market.

Ilya Frolov, an analyst at Promsvyazbank, said, “The Russian stock market rose moderately on Thursday and outperformed similar global markets due to stability of oil prices.”

The rise of the dollar-denominated RTS was limited by the ruble weakening to about 64.1 against the U.S. dollar by the closing bell.

Vitaly Manzhos, a senior analyst at Bank Obrazovanie, said that Enel Russia, which jumped 4.56% to 0.895 rubles, was supported by the news that it may sell some its assets, including coal power station Reftinskaya GRES.

Aluminum giant RUSAL was still supported by rumors that Onexim Group may buy a 17.02% stake in the company and increased 1.6% to 235.2 rubles per Russian Depositary Receipt (RDR), the analyst said.

Preferred shares of oil and gas company Surgutneftegas, which fell significantly after going ex-dividend earlier, rebounded 1.38% to 33.475 rubles, Manzhos said, adding that shares’ closest support point is 35 rubles.

Russian metals companies were put under pressure, because the Federal Antimonopoly Service had launched a case against a range of metals producers, Kochetkov said. Novolipetsk Steel went down 1.94% to 91.88 rubles, Magnitogorsk Iron and Steel Works (MMK) fell 0.74% to 28.19 rubles and steel producer Severstal decreased 0.54% to 741 rubles.

InstaForex analyst Igor Kovalyov said that Russian state-run uncut diamond mining giant ALROSA was supported by strong operating results for April–June, while sales rose by 6.7% on the year in physical terms. ALROSA grew 0.57% to 70 rubles per share.

Below are the MICEX’ five most active stocks on Thursday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.05	138.50	4.500
Gazprom	+0.60	140.10	2.436
ALROSA	+0.57	70.00	2.269
Surgutneftegas pref	+1.38	33.475	1.777
Norilsk Nickel	+1.00	9390.00	1.316

(63.4183 rubles – U.S. $1)

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