Russian stocks rise supported by foreign bourses, oil prices

MOSCOW, Jul 6 (PRIME) – The Russian stocks grew on Monday on support from foreign bourses and rising oil prices, analysts said.

The MOEX Russia Index rose 1.20% to 2,835.18 and the RTS increased 0.97% to 1,247.14.

“Trade dynamics were defined by the news from the external markets. On one hand, the World Health Organization published data on a continuous increase in the amount of infected people all around the world,” Alexander Osin, analyst at investment company Freedom Finance, said.

“On the other hand, there are reports about anti-crisis economic measures in the countries that are the drivers of global demand, like the U.S., Japan, and China.”

The news about Warren Buffet’s company Berkshire Hathaway Energy buying U.S. $4 billion worth of shares of U.S. gas companies was a positive factor for the energy industry, and the Brent oil price climbed above U.S. $43 per barrel prompting Russian gas giant Gazprom to outperform the market, Osin said.

Gazprom gained 1.39% to 199.95 rubles.

Yelena Kozhukhova, analyst at investment company Veles Capital, said that the oil prices and the European bourses rose supported by a rally on the Chinese floors and hopes that the region’s economy would recover. The futures for the U.S. stock indices also grew on expectations of an additional economic support that the country’s government discussed.

The U.S. stock indices gained 1.4–2.3% at opening when the Russian market was getting close to the end of the day. The market still ignores the high figures of the coronavirus infections, and American investors also chose to focus on the Chinese market, Kozhukhova said.

Kohzukhova also said that telecom operator Rostelecom grew on the board of directors’ decision to support 2019 dividends of 5 rubles per ordinary share and type A preferred share. The ordinary shares of Rostelecom grew by 1.15% to 89.10 rubles and preferred shares gained 3.23% to 81.45 rubles.

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

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Norilsk Nickel	-4.87	18074.00	14.047
Sberbank	+1.80	214.75	11.589
Gazprom	+1.39	199.95	8.890
Lukoil	+1.08	5475.00	5.991
MTS	+1.49	339.60	2.646

(70.4999 rubles – U.S. $1)

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