Russian stocks rise as oil price stabilizes, ruble falls

MOSCOW, Jan 21 (PRIME) -- Russian stocks grew on Thursday as the oil price stabilized above U.S. $27 per barrel, while the ruble continued its free-fall and hit new historic lows against major currencies, analysts said.

The MICEX rose 2.87% to 1,677.19 and the RTS increased 0.59% to 632.12.

“The Russian stock market showed mixed dynamics today. Stabilization of the oil prices above $27 per barrel helped the MICEX index to regain its losses,” while the continuous plunge of the ruble weighed upon the RTS index, Igor Kovalyov, an analyst at InstaForex, said.

“The oil price was very volatile during the day, but by the end of the trading session it managed to enter the green zone despite pessimism regarding reserves of crude oil and distillates in the U.S.,” Mikhail Abramov, an analyst at investment company Veles Capital, said.

Uncut diamond mining giant ALROSA grew 3.13% to 56.72 rubles after the company’s president said that ALROSA did not cut prices of January contracts with long-term clients.

Metals companies benefited from the ruble decrease, with metals giant Norilsk Nickel, steelmaker Severstal, and Magnitogorsk Iron and Steel Works (MMK) jumping 5.56%, 4.28%, and 4.07% to 9,130 rubles, 662 rubles, and 17.92 rubles respectively.

Gold producer Polyus Gold grew 1.46% to 3,120 rubles due to rumors that the company may carry out a $2.5 billion share buyback already in January–March.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+2.59	86.00	12.301
Norilsk Nickel	+5.56	9130.00	5.217
Gazprom	+1.53	127.75	4.355
Lukoil	+3.15	2212.80	3.147
Magnit	+4.83	10850.00	2.908

(79.4614 rubles – U.S. $1)

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