Russian stocks seen flat ahead of central bank's key rate decision
MOSCOW, Sep 15 (PRIME) -- The Russian stock market will likely open with marginal changes on Friday, as investors are cautious ahead of a decision of the central bank on the key rate later in the day, analysts said.
"Investors are cautious ahead of a meeting of the Central Bank of Russia on the key rate," Cifra Broker analysts said. According to the analysts, investors in less-liquid shares started to take profit, while there is an inflow of investments in the blue chips.
"The Central Bank of Russia will decide on the key rate today, at 1:30 p.m., Moscow time. The balance of risks is shifted towards the rate increase, taking into account the recently published weekly inflation data that demonstrated an acceleration of annual inflation in Russia on the week from September 5 until September 11 to 5.33% from 5.19% a week earlier," the analysts said.
BitRiver’s financial analyst Vladislav Antonov said that the foreign currency interventions announced earlier by the central bank were insufficient to stabilize the ruble as of Friday.
According to the Cifra Broker analysts, the external background before the session start was moderately positive, as the Nikkei 225 rose 1.1%, and China's Shanghai Composite declined 0.1%.
Antonov said that oil prices were rising on expectations of a supply fall on the back of a decrease of production by Russia and Saudi Arabia.
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