Russian stocks seen falling slightly on oil price dip, trade wars

MOSCOW, Jul 23 (PRIME) -- The Russian stock market is to ease at opening on Monday due to a decrease of oil prices and new statements concerning the trade wars, analysts said.

“The external background provides us with no good reason for an upward turn of the RTS index so far, although a 6.3% decline last week seems too strong, which means that suspension of the downward correction is possible in the short term. Nevertheless, the trade wars continue to be a factor holding down stock market investors in general,” Olma senior analyst Anton Startsev said.

Anna Bodrova, senior analyst at Alpari, said that liquidity on the stock market is low as usual in summer, and ex-dividend dates for most of the companies are over.

According to Bodrova, falling oil prices and the risks of boosting of the anti-Russian sanctions is a negative factor, as well as mistrust in the ruble as a currency of an emerging economy.

Finam analyst Sergei Drozdov said that a decision by rating agency S&P Global Ratings to confirm Russia’s rating at BBB- is neutral for the stock market.

Vitaly Manzhos, a senior risk manager at investment company Nord Capital, said that the MOEX Russia Index can open with a 0.2–0.3% decrease at 2,240–2,245. The levels of 2,230 and 2,220 are support and 2,260–2,270 is resistance.

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