Russian stocks rise on oil, as investors hope for Doha consensus

MOSCOW, Apr 11 (PRIME) -- Russian stocks increased on Monday supported by rising oil prices, because market players believe that oil exporting countries may agree on a production freeze on April 17, analysts said.

The MICEX rose 1.58% to 1,906.90 and the RTS increased 2.49% to 900.98.

“In spite of a shy start after Friday’s rally, Russian bulls took control of the situation again. The MICEX and the RTS tested very important resistance levels of 1,900 and 900, respectively,” Andrei Dirgin, head of the analytical department at Alfa-Forex, said.

“From all appearances, as we approach the weekend, when a meeting of OPEC and non-OPEC exporters takes place, a growing number of market players believe that a consensus will be reached. Let’s remember that the future of the oil market, as well as other financial assets in the middle run will depend on the results of the meeting.”

Igor Kovalyov, an analyst at InstaForex, said that optimism on the Russian stock market was caused by high oil prices. Financial, as well as oil and gas companies were particularly supported by rising oil quotations and a stronger ruble, the expert said.

The rise of the dollar-denominated RTS was technically sped up by the ruble. Veles Capital senior analyst Yury Kravchenko said that the national currency rose while Brent tested a U.S. $43 per barrel level.

Pharmacy Chain 36.6 rose 12.04% to 18.33 rubles after it said that U.S. pharmacy chain Walgreens Boots Alliance (WBA) received a 15% stake in it after selling 100% of Alliance Boots Holdings B.V.’s shares to the Russian company’s unit Apteka-A.V.E.

Top Russian lender Sberbank rose 3.92% to 117.35 rubles, supported by the ruble strengthening, while oil and gas company Surgutneftegas, which has significant foreign currency reserves, fell 1.09% to 43.725 rubles.

Oil major Rosneft increased 2.69% to 325 rubles on the back of rising oil prices.

Bank Obrazovanie senior analyst Vitaly Manzhos said that retailer Magnit was depressed by weak operating results: its revenue in rubles rose 16.35% in March against a 24.27% increase in the same period of 2014. Magnit fell 0.64% to 10,254 rubles.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	3.92	117.35	17.459
Gazprom	1.10	147.30	4.704
Lukoil	0.74	2798.00	3.441
Rosneft	2.69	325.00	2.593
Norilsk Nickel	1.78	8783.00	2.234

(67.4662 rubles – U.S. $1)

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