Russian stocks rise as ceasefire holds in Ukraine, Brent rise

MOSCOW, Mar 3 (PRIME) -- Russian stocks grew on Tuesday backed by the news that the Ukrainian army and rebels are withdrawing heavy weapons from the frontline and by the Brent price firming and ahead of a Friday’s meeting between Russia, Ukraine, Germany and France on the Ukrainian conflict settlement, analysts said.

The MICEX rose 1.37% to 1,807.70 and the RTS increased 1.49% to 917.05.

“The stock market grew thanks to the Ukrainian conflict de-escalation and in anticipation of the Normandy format talks on Friday,” Sergei Filchenkov, analyst at Metropol, said.

Due to the improving situation in Ukraine the E.U. is unlikely to threaten new sanctions and it may trigger a new wave of stock market growth, Andrei Dirgin, head of Alfa-Forex analytical department, said.

The Brent price consolidation around $61 per barrel also backed the stocks, the analyst said.

The stock market volatility may increase on Wednesday ahead of the European Central Bank’s meeting and Thursday’s National People's Congress’ meeting in China, where 2015 targets may be announced, Veles Capital analyst Alexander Kostyukov said.

Growth leaders included Russian top exporters, Filchnkov said. TMK rose 3.41% to 54.6 rubles.

ALROSA grew 4.50% to 72.05 rubles after the Finance Ministry said on Monday statistics that Russia’s diamonds output rise at 7.7% in 2014, Kostyukov said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.85	75.55	9.867
Gazprom	+2.25	159.00	7.449
Lukoil	-0.58	3009.50	3.525
Norilsk Nickel	+1.87	11480.00	2.338
Surgutneftegas	+3.21	42.33	2.021

(62.2248 rubles – U.S. $1)

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