Russian stocks rise on hopes of Rosneft, Sistema negotiations

MOSCOW, Dec 22 (PRIME) -- The Russian stock market closed in the green zone on Friday as bears closed speculative shorts and there were hopes that oil major Rosneft and multi-industry holding Sistema will announce negotiations on peaceful settlement of their court claims, analysts said.

The MOEX Russia index grew 0.46% to 2,102.94 and the RTS increased 0.77% to 1,135.70.

“On Friday, the Russian stock market managed to gain back a part of losses borne a day before despite a negative external background,” Bogdan Zvarich, an analyst at investment company Freedom Finance, said.

Otkritie Broker analyst Andrei Kochetkov said that oil prices were slightly falling on the back of reports of output growth in the U.S. and a report by operator of the Forties pipeline about resumption of pumping in early January. A report by Reuters that OPEC plus nonmember deal participants are working on a deal exit strategy could also contribute to the trend.

The Brent oil price decreased 0.17% to U.S. $64.79 as of 6:30 p.m. Moscow time.

Zvarich said that negative market dynamics in Europe and the U.S. was another negative factor for the Russian market.

He said that investors were taking profit from speculative shorts, which favored purchases on the Russian market.

Kochetkov said that a hint by President Vladimir Putin on possible negotiations between CEOs of Rosneft and Sistema on peaceful settlement of their mutual claims was the main market-driving event on Friday. Sistema confirmed having sent proposals for a peaceful settlement.

Below are the MOEX Russia Index’s five most active stocks on Friday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.97	221.44	4.796
Gazprom	+0.55	132.42	2.202
Sistema	+17.73	11.32	1.992
VTB	+2.65	0.04655	1.453
Norilsk Nickel	+1.7	10710	1.122

(58.5596 rubles – U.S. $1)

End