Russian stocks seen decreasing at opening as oil futures fall

MOSCOW, Jun 7 (PRIME) -- The Russian stock market will likely edge down at the start of the Monday's session as the oil prices decrease, analysts said.

"The external background favors non-aggressive sales -- the American futures lose about 0.1% but all commodities fall. Oil decreased by 0.8% trading at U.S. $71.3 per barrel," Alor Broker analyst Alexei Antonov said.

According to Antonov, the Russian market will ease to a support level of 3,780. Still, a positive trend will remain and recovery might occur later on the week.

Vitaly Manzhos, senior risk manager at investment company Algo Capital, said that investors tend to ignore official statistics, and yet Economic Development Minister Maxim Reshetnikov said that the gross domestic product (GDP) increased 10.7% on the year in April, and President Vladimir Putin pledged an about 4% rise in 2021, which is good news although the figures were timed to coincide with the St. Petersburg International Economic Forum.  

Antonov said that oil companies remain attractive as oil is above $70, and shares can be acquired as soon as oil restarts growth. Novatek, Rosneft and Gazprom are seen as most promising since Gazprom has not priced in completion of the first line of Nord Stream 2.

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