Russian stocks rise on strong crude, favorable foreign backdrop

MOSCOW, Nov 8 (PRIME) -- The Russian stock market rose on Monday, supported by the rising crude oil prices and positive foreign markets background, analysts said.

The MOEX Russia Index rose by 1.04% to 4,218.27 and the RTS increased by 0.94% to 1,865.46.

“At the beginning of the new week, bullish sentiment returned to the Russian market,” Yegor Zhilnikov, chief analyst at PSB Bank, said.

“The MOEX Russia Index was reclaiming losses of the previous week, following the continuing risk appetite of investors against the background of the last Federal Reserve System meeting. It should also be noted that the growth was supported by strengthening commodity prices, including oil futures on the background of the last OPEC+ meeting,” Zhilnikov said.

Alexandra Ovchinnikova of Sber Asset Management said that the Russian stocks were supported by the appetite for assets of developing countries today, as well as by strong oil dynamics. In addition, both European and Asian markets were mostly trading in the green zone today, which provided further positivity for Russia’s stock market, Ovchinnikova said.

“Moderate optimism prevailed at the beginning of the week on global stock exchanges. … Trading in the U.S. started with the rise of three major indices, which by the end of the session in Russia rose within 0.5% and the Euro Stoxx 50 Index was gaining about 0.1% by the end of the session in Russia,” Yelena Kozhukhova of Veles Capital said.

According to Alexander Osin of Freedom Finance, Bashneft shares were declining due to uncertainty about the renewal of the company’s today board of directors meeting. At the same time, the news background around the company is generally positive.

Acron shares were rising in anticipation of the Friday board meeting, which will recommend a dividend for January–September, Osin said.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	-0.32	359.07	13.707
Gazprom	+0.45	352.19	13.336
TCS Group	+4.18	8360.6	4.029
Norilsk Nickel	+0.94	21868	3.569
Yandex	+1.31	6200	3.516

(71.4876 rubles – U.S. $1)

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